The biggest movie producer in India, Eros Group, is in discussion with the most valuable public firm in the world, Apple Inc. The discussion is to sell its whole content library of music and films for almost $1 Billion. This information was given by various sources having deep knowledge of the current negotiations. An agreement may also comprise Eros Now, their digital OTT platform, which is dubbed as the Netflix of Bollywood.
Parallel talks with rival technology and media giants Netflix and Amazon have also collected momentum since the Kishore Lulla headed firm is aiming to board on a mega reorganization exercise. This exercise is expected to result in an overturn merger of Eros International Plc., its NYSE listed parent, into Eros International Media, its locally listed subsidiary, by the end of this fiscal to make a sole listed firm. The decision is viewed as an effort to calm investor nerves that has flustered since 2005 frequently over accusations of non-transparent related party payments, corporate misgovernance, fraud, and financial malpractices. The company has constantly refused any irregularities.
Indian listed entity of Eros is the subordinate of Eros Plc. that possess almost 73% in Eros India. Eros Plc. handles the foreign allocation of the films and dwells Eros Now. Eros India is the major working entity, mainly accountable for creation of content.
If triumphant, Eros India’s library of more than 3000+ Indian films (Regional blockbusters and Bollywood) might give any latent suitor invincible access to leading entertainment content as the war over video and music streaming strengthens between entertainment companies and media, stand alone service suppliers, digital OTT companies, and telecom companies. The library of Eros India is the largest in the nation of which more than 50% long-term rights are owned by the company.
Eros Now, its digital subdivision that has rights to more than 10,000 movies, out of which almost 5,000 movies are possessed in eternity. These movies are present across regional languages including Hindi from internal library of Eros. It has almost 2.9 Million paid users and more than 100 Million registered users as of this June.