GV Films unveils Rs 1800cr spread

In order to bring entertainment, shopping and services under a single window, Chennai-based GV Films Ltd (GVFL) plans to build 46 GV 'Studio Cities' involving an expenditure of Rs 1,800-crore.

The project is to be completed in two phases. In the first phase, the company aims to build 23 world-class theatres along with three-star hotels and shopping malls.

The project is expected to cost Rs 900 crore and will be completed in the next 18 months. The company plans to confine itself to Tamil Nadu and Andhra Pradesh in the first phase. It has planned projects in cities like Chennai, Guntur, Madurai, Kochi and Mysore among others.

The second phase would also involve an investment of about Rs 900 crore in 23 projects. In this phase, the company would move to the west starting with Mumbai, Pune and Nagpur. The second phase of the plant would begin within the next one year.

At present, the company is involved in the business of film production, exhibitions, distribution, web-casting and TV serial production.

About half of the capital expenditure is proposed to be met through the equity route while 30 per cent and 20 per cent will be met through debt and internal accruals respectively.

The company has also taken permission for raising $180 million through GDR/FCCB.

"A GV Studio City includes multiplexes, theme hotels and shopping malls. We wanted to build shopping malls cum multiplexes instead of only multiplexes," A Venkatramani, director, G V Films said.