Sports

UFO Moviez, the digital film distribution company, plans to grow its network to 2,500-3,000 screens in the country by the current fiscal end from 1,800 screens at present.

At present, UFO has around 200 of the total 800 multiplex screens
in the country. The rest are single screens. The additions will be a mix of single and multiplex screens, said Kapil Agarwal, joint MD, UFO Moviez India Ltd.

The company recently got into a strategic alliance with Reliance MediaWorks Ltd wherein the latter will bring its network of 253 Big Cinema screens under the UFO Moviez’s network.

This will take the total number of UFO-serviced screens to over 2,000 in the next 30-45 days.

The company is looking to invest about Rs 75-80 crore in the new digital screens it plans to add across the country.

“Capex will largely depend on the mix of screens considering a lot of them operate across various points ranging from Rs 15-20 to Rs 250 and above. The per-screen installation expenditure varies from Rs 5-11 lakh while the flat rentals per month range between Rs 12,500 and Rs 17,500,” Agarwal said.

Since inception in 2005, the promoters have met the funding through equity and internal accruals with absolutely no debt on books so far. In 2007 UFO had a private placement of $22 million by 3i Capital.

“Our balance-sheet is healthy enough to fund future growth,” said Agarwal, adding UFO promoters had no immediate plans for going public, but that would be eventually done.