You are here: Home » Companies » News
Business Standard

Carnival group to invest Rs 500 cr in multiplex business

Also plans 1000 screens by 2017

George Joseph  |  Mumbai 

Carnival group to invest Rs 500 cr in multiplex business

Carnival Group will invest Rs 500 crore for expanding its foot print in multiplex segment, on a pan India basis, by 2017. Talking to Business Standard Srikant Bhasi, chairman, Carnival group said that by 2017 the group will add 500 plus new screens, taking the total to 1000 across the country. He said that 200 screens will be added in Madhya Pradesh shortly and more screens will be added in tier -1 and tier- 2 cities. The company will add 40 screens in next six months time taking the total number of screens to 413.

"Our main focus is on entertainment business where we see tremendous scope. Yet we plan to have an organic growth pattern in this growing segment. There is not much scope for inorganic growth, so we focus much on green field facilities across the country, mainly in tier -1 and tier- 2 cities, he said.

He also said that the company has big plans to acquire more real estate properties wherever there is scope for generating more rental yield. If we see any property which have scope of revenue generation we will definitely look into it.

We target those areas across the country where rental revenue could be enhanced. At present we have no immediate acquisition plan, yet definitely we are looking at good properties across India, Bhasi added.

Talking to Business Standard he said that commercial aspect of the realty segment is still not bullish. Yet there is scope for generating rental revenue in major centers of the country.

He added that the latest acquisition of the commercial complex of L&T in Chandigarh is a major step ahead in this area as more revenue could be generated. The company plans to increase the rental revenue of the newly acquired property by 10 per cent within next 6 months time. At present the revenue is between Rs 165 -170 crore per annum. The group will use the non-utilised areas of the mall for this purpose. We have chalked out an aggressive marketing plan for this and the space occupancy will go up, he said.

Across the world malls are not only commercial areas, but entertainment zones too. So we concentrate more on entertainment business coupled with space marketing action plan, Bhasi said.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Thu, October 01 2015. 11:58 IST