Entertainment in the IPO market - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

Entertainment in the IPO market

Mar 7, 2000

A slew of media companies are slated to hit the IPO market over the next couple of months. Notable among them are Sun TV, NDTV, Nimbus, Creative Eye, Sagar Entertainment, ATN and UTV.The media sector is going through a massive transformation with content creators venturing into broadcasting and post-production, the broadcasters venturing into media marketing, pay channels as well as provision of distribution trolleys etc.

The valuations that media stocks have attracted the world over (Time Warner, Viacom, News Corp etc) as well as in India (Zee Television, Sri Adhikari Brothers, Crest Communications, TV 18) have led the media companies especially those catering to the Cable and Satellite market to tap the capital market for funding their ambitious plans.

While Creative Eye is already planning for a Rs. 1.20 bn IPO with the money to be used for creation of post–production facilities apart from production studios and a tele–shopping channel, Nimbus has plans for two television channels apart from radio broadcasting. The company has so far been engaged in media marketing apart from television programming. The Rs 2.31 bn issue is to be priced at around Rs 400.

With quite a lot of quality stocks tapping the IPO market, the primary market is in for good times. Also since all these companies are profit making this will give investors a chance to participate in good quality companies.

However, it is that the valuation of the individual stocks vis-à-vis their fundamentals and the success of their plans will be crucial for determining the gains that investors make.

Equitymaster requests your view! Post a comment on "Entertainment in the IPO market". Click here!


More Views on News

What Fuelled the Sudden Surge in PVR and Inox Shares Today (Views On News)

Sep 27, 2021

Shares of both multiplex chain operators surged almost 18% to hit their 52-week highs.

8 Penny Stocks with Exceptionally High Promoter Holding (Views On News)

Sep 25, 2021

While high promoter holding is a good thing, there can be rare cases where penny stock promoters use misleading information about the actual valuation.

Shareholder Activism Triggers a 30% Rally in Zee Entertainment Shares (Views On News)

Sep 14, 2021

Zee Entertainment shares zoom after top investors seek CEO and MD Punit Goenka's removal.

Here's Why Affle India Hit 5% Upper Circuit Today (Views On News)

Jul 2, 2021

In the past one year, the company's share price is up 202%. Can it go higher?

More Views on News

Most Popular

Infosys vs TCS: Which is Better? (Views On News)

Nov 26, 2021

In the post pandemic era, the top two IT companies in India are fighting to capture the growing demand for IT.

This Multibagger Stock Zooms 20% After Dolly Khanna Buys Stake (Views On News)

Nov 24, 2021

Shares of this edible oil company zoomed over 50% in three days after ace investor bought around 1% stake.

6 Popular Stocks that Turned into Penny Stocks (Views On News)

Nov 27, 2021

A look at popular stocks that crashed big time and never recovered, i.e. which went from 'Multibaggers to Multibeggers'.

MobiKwik IPO Opens for Subscription Soon. Key Things to Know Before Subscribing. (Views On News)

Nov 20, 2021

The Rs 19 bn issue is set to hit the market soon.

5 Indian Companies Embracing Blockchain Technology (Views On News)

Nov 23, 2021

Blockchain adoption in India was slow in the past. Now, the technology is being well received.


Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms


Dec 3, 2021 (Close)