Uday Chopra has announced the formation of YRF Entertainment, a Hollywood-based production and financing company focused on developing and producing feature films for the U.S. and international marketplace.
The company is launched and funded by Yash Raj Films, (yashrajfilms.com) the 41-year old studio that was founded by Yash Chopra, and continues to be one of India’s most prolific film producers and distributors. Uday Chopra will serve as CEO of YRF Entertainment and has hired Jonathan Reiman to head development and production under him.
Uday Chopra commented, “My family has a deep commitment to making and distributing quality films that entertain and enlighten audiences. I share that passion, as well as a love for American films that I have had since childhood. It is that enthusiasm and my love of the creative process of filmmaking that drove me to start this new venture.”
YRF Entertainment (yrfentertainment.com) is currently producing and financing “The Longest Week,” which began shooting last week in New York City. Written and directed by Peter Glanz, the movie stars Jason Bateman, Olivia Wilde, and Billy Crudup. Uday Chopra is producing with Neda Armian. Exec Producers are, Jonathan Reiman, Chris Marsh, Stone Douglass, Taylor Materne.
The comedy tells the story of a bratty “man-child” (Bateman) who still lives with his parents in a chic Manhattan hotel but suddenly finds himself evicted, disinherited and hopelessly in love with his best friend’s heartthrob (Wilde).
Uday tracked down the project after the original financier had to abandon the film and immediately fell in love with the material. He quickly arranged a creative and physical production meeting with Glanz and Armian in Mumbai. After the lengthy meeting, he committed to making the movie, with his business and legal team closing the deal in less than two weeks.
YRF Entertainment is also building a slate of projects that it will actively develop and produce from the ground up. The first project the company will develop is an untitled action/comedy by Dan Ewen (“Opposites Attract”) about two twenty-something’s who run away from their podunk towns to pursue big dreams and become an unlikely but seemingly unstoppable duo after meeting serendipitously.
(YRF)
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Showing posts with label Corp. Show all posts
YRF offers films to Intel-Hungama venture
Yash Raj Films has become a part of the new venture between Intel and Hungama Digital Entertainment, supplying its films for downloading and streaming by film buffs.
The newly set up venture is making available a number of famous Bollywood and international films for downloading and streaming.
“We are very much delighted that Intel is debuting their newest technology with Yash Raj Library. We are very happy with the association. Now the audiences would have all the films of their choice at their fingertips,” averred Yash Chopra.
Aprat from films from YRF, films from Paramount Pictures, T-Series and Reliance Home Video would also be screened.
(Indiantelevision.com)
The newly set up venture is making available a number of famous Bollywood and international films for downloading and streaming.
“We are very much delighted that Intel is debuting their newest technology with Yash Raj Library. We are very happy with the association. Now the audiences would have all the films of their choice at their fingertips,” averred Yash Chopra.
Aprat from films from YRF, films from Paramount Pictures, T-Series and Reliance Home Video would also be screened.
(Indiantelevision.com)
Reliance Retail-Yashraj in JV for expansions
Recently, India’s leading Industrialist Mukesh Ambani, CMD, Reliance Industries has forayed in the reel world by tieing up with Yashraj Films.
Mukesh Ambani’s Reliance Retail and Yashraj Films may float a 74:26 JV to develop multiplexes, run entertainment channels and produce soap operas for television. The new company formed out of this Joint Venture would work out upcoming malls of Reliance Retail nationwide to bring more multiplexes.
“I love watching Bollywood movies and Yash Chopra is one of my favourite filmmakers. I have always believed that he has a Midas touch”, said Mukesh Ambani, Chairman, Reliance Industries. The plans are to invest around Rs 200 crores in the new venture.
Mukesh Ambani’s Reliance Retail and Yashraj Films may float a 74:26 JV to develop multiplexes, run entertainment channels and produce soap operas for television. The new company formed out of this Joint Venture would work out upcoming malls of Reliance Retail nationwide to bring more multiplexes.
“I love watching Bollywood movies and Yash Chopra is one of my favourite filmmakers. I have always believed that he has a Midas touch”, said Mukesh Ambani, Chairman, Reliance Industries. The plans are to invest around Rs 200 crores in the new venture.
Yash Raj to create Entertainment District in Dubai
Yash Raj Films has entered into an agreement with Dubai Infinity Holdings, the innovative and empowering investments enterprise of Dubai. The partnership signed by Yash Chopra and Samira Abdulrazzak, CEO, Dubai Infinity Holding is to build a large-scale entertainment district dedicated to the film brand.
The Yash Raj Films Entertainment District will comprise of theme park attractions, a movie palace, unique hotels and many other unique Indian genre entertainment concepts. All the components of the YRF District will be themed around the YRF banner. The first phase of the YRF Entertainment District is scheduled to be completed by 2012.
Yash Chopra on IPO and other fund-raising options
Film production and distribution house Yash Raj Films is yet to take a call on an IPO, but it has nothing to do with the current market condition, says Yash Chopra, who spearheads YRF. He spoke to DNA Money’s Nivedita Mookerji and Nirmal John on the sidelines of the Frames conclave, which concluded on Thursday. Excerpts:
Is Yash Raj Films planning a joint venture with any of the international film studio banners?
Walt Disney is Yash Raj Films’ co-producer in the animation film Roadside Romeo, which is releasing on Diwali. This is the only international venture we have so far and we finalised it last year.
Any plans to strike an alliance with a foreign partner?
As of now, there are no international ventures. It’s true that people are talking to us. But unless something is finalised, I can’t talk about it.
What’s the news on the IPO front?
There’s no decision on an IPO yet. The IPO buzz is only a conjecture. This year we have five films, next year we want to raise the figure to 7-8 films. If need be, we may go for an IPO. If not, we won’t.
Are you waiting for the markets to recover in a big way?
A couple of months ago, the markets were all right. Yet, we did not go for an IPO. It’s important for us to make up our own minds on whether to go for an IPO or not.
At this point, we have not made up our minds to go for an IPO.
Is there any other fund-raising route that you are looking at? There were talks about private-equity firm Blackstone striking a joint venture with the Yash Raj group. Isn’t it?
The Blackstone buzz was mainly because people saw me with Akhil Gupta, the India head of Blackstone. It was not about business. I’ve known him very well for many years.
Is there any other private-equity deal expected soon?
People do approach us, but we have not taken a decision on such things. At present, I want to concentrate only on making movies.
How are you raising funds?
All from internal accruals.
Do you have any overseas expansion plans?
No. We have operations in the UK, US, Canada and Dubai, besides India. We don’t want to go to small territories.
Does your home entertainment division have any plans to reduce prices of DVDs, CDs and VCDs?
No, I think we want to respect our product.
Do you face competition from the likes of Moser Baer (which sells DVDs at Rs 34)?
Yes, the competition is huge and serious. But the prices are not an ego question. It is about business and marketing strategy. Each one makes his own choice based on that strategy.
(DNA)
Is Yash Raj Films planning a joint venture with any of the international film studio banners?
Walt Disney is Yash Raj Films’ co-producer in the animation film Roadside Romeo, which is releasing on Diwali. This is the only international venture we have so far and we finalised it last year.
Any plans to strike an alliance with a foreign partner?
As of now, there are no international ventures. It’s true that people are talking to us. But unless something is finalised, I can’t talk about it.
What’s the news on the IPO front?
There’s no decision on an IPO yet. The IPO buzz is only a conjecture. This year we have five films, next year we want to raise the figure to 7-8 films. If need be, we may go for an IPO. If not, we won’t.
Are you waiting for the markets to recover in a big way?
A couple of months ago, the markets were all right. Yet, we did not go for an IPO. It’s important for us to make up our own minds on whether to go for an IPO or not.
At this point, we have not made up our minds to go for an IPO.
Is there any other fund-raising route that you are looking at? There were talks about private-equity firm Blackstone striking a joint venture with the Yash Raj group. Isn’t it?
The Blackstone buzz was mainly because people saw me with Akhil Gupta, the India head of Blackstone. It was not about business. I’ve known him very well for many years.
Is there any other private-equity deal expected soon?
People do approach us, but we have not taken a decision on such things. At present, I want to concentrate only on making movies.
How are you raising funds?
All from internal accruals.
Do you have any overseas expansion plans?
No. We have operations in the UK, US, Canada and Dubai, besides India. We don’t want to go to small territories.
Does your home entertainment division have any plans to reduce prices of DVDs, CDs and VCDs?
No, I think we want to respect our product.
Do you face competition from the likes of Moser Baer (which sells DVDs at Rs 34)?
Yes, the competition is huge and serious. But the prices are not an ego question. It is about business and marketing strategy. Each one makes his own choice based on that strategy.
(DNA)
SRK, Yash Raj films & Rajinikanth clash!
As interesting as the headline is the story itself. If reports smoking out of Bollywood are to be believed then we can witness the clash of Titans, we mean with regards to the film industry.
Red Chillies VFX, Yash Raj FIlms and Rajinikanth's daughter Soundarya's Ocher Studios will be vying with each other in the National Association of Broadcasters show to be held in Las Vegas on April 15.
The three production houses will also be making their presentations. Reports suggest that the production houses will also extend their service to not just desi but foreign films as well. The highest billing among these three production houses has been given to given to SRK's Red Chillies VFX. Not to mention that SRK's production has ventured into making animation films as well.
Rajinikanth's Ocher Studios has ventured in to the production and making of the animated film 'Sultan - The warrior', with a whooping budget of 70 crore rupees. Reports indicate that there is tough competition existing between Red Chillies VFX and Ocher Studios. And with Yash Raj films too coming out with an animation film titled 'Roadside Romeo' the competition is getting stiffer.
Now the best we can do is just wait till the calender turns April 15th and watch who gets picked as the best!
Red Chillies VFX, Yash Raj FIlms and Rajinikanth's daughter Soundarya's Ocher Studios will be vying with each other in the National Association of Broadcasters show to be held in Las Vegas on April 15.
The three production houses will also be making their presentations. Reports suggest that the production houses will also extend their service to not just desi but foreign films as well. The highest billing among these three production houses has been given to given to SRK's Red Chillies VFX. Not to mention that SRK's production has ventured into making animation films as well.
Rajinikanth's Ocher Studios has ventured in to the production and making of the animated film 'Sultan - The warrior', with a whooping budget of 70 crore rupees. Reports indicate that there is tough competition existing between Red Chillies VFX and Ocher Studios. And with Yash Raj films too coming out with an animation film titled 'Roadside Romeo' the competition is getting stiffer.
Now the best we can do is just wait till the calender turns April 15th and watch who gets picked as the best!
FICCI 2008 : Chopra Comes Down Hard On Vandalism Against Censored Movies
FICCI Frames 2008, the annual convention of the media and entertainment industry got underway in Mumbai today. The three-day event will cover the entire gamut of media and entertainment like films, TV, radio, digital entertainment, animation, gaming, visual effects, etc. Over 1,500 delegates are expected to attend the convention.
The highlight of the first day was Yashraj Films head, veteran filmmaker Yash Chopra, who came down hard on political opposition and vandalism against censored movies. Without naming his own 'Aaja Nachle' and UTV's 'Jodhaa Akbar', both victims of vandalism. Chopra asked the Information And Broadcasting Ministry officials to consult the Supreme Court and work out a plan of action against rogue organisations indulging in acts vandalism.
The secretary in the I&B Ministry Asha Swarup assured Yash Chopra of necessary action and also regretted the unnecessary and unlawful protests against both 'Aaja Nachle' and 'Jodhaa Akbar'.
The highlight of the first day was Yashraj Films head, veteran filmmaker Yash Chopra, who came down hard on political opposition and vandalism against censored movies. Without naming his own 'Aaja Nachle' and UTV's 'Jodhaa Akbar', both victims of vandalism. Chopra asked the Information And Broadcasting Ministry officials to consult the Supreme Court and work out a plan of action against rogue organisations indulging in acts vandalism.
The secretary in the I&B Ministry Asha Swarup assured Yash Chopra of necessary action and also regretted the unnecessary and unlawful protests against both 'Aaja Nachle' and 'Jodhaa Akbar'.
Yash Chopra on Budget 2008
Filmmaker Yash Chopra was recently hailed as the most powerful man in Hindi cinema. Unassuming and humble, we caught up with him in his own studio, and asked him about Budget 2008.
I don't know what it's oing to be. But I do hope they take the entertainment industry into consideration. The amount of taxes imposed on production houses is tough to bear, and leaves little profit for filmmakers.
This is extremely disappointing. We need to encourage people to make more films, but when there is hardly anything you get in return it often becomes a losing proposition. Also, not all films work.
That makes matters worse. I have more people working in my accounts department than on the films I am making. That's the scene. The paperwork is endless.Lets hope there's an end to this endless madness soon!
(TOI)
I don't know what it's oing to be. But I do hope they take the entertainment industry into consideration. The amount of taxes imposed on production houses is tough to bear, and leaves little profit for filmmakers.
This is extremely disappointing. We need to encourage people to make more films, but when there is hardly anything you get in return it often becomes a losing proposition. Also, not all films work.
That makes matters worse. I have more people working in my accounts department than on the films I am making. That's the scene. The paperwork is endless.Lets hope there's an end to this endless madness soon!
(TOI)
SRK to mediate between Karan Johar and Aditya Chopra
Buzz is strong about Karan Johar not being happy with the price Yash Raj is offering him for distribution rights of his next, directed by protégé Tarun Mansukhani and that he and old pal, Aditya Chopra had a tiff over it. Their common pal, Shah Rukh Khan is playing mediator in all this claim industry sources.
"Every Dharma Productions film by Karan Johar has been distributed by Yash Raj worldwide. Though the rights price increased with every released film as they all went on to become super hits, it was still considerably low as compared to new players in the market – the corporate companies such as UTV or Eros or even big distributors like Ashtavinayak were willing to offer.
But due to his equation with Adi, Karan never thought twice about it, but now he is in two minds with a joint offer by Eros for the Abhishek Bachchan– Priyanka Chopra – John Abraham starrer directed by Tarun Mansukhani and for KJo’s SRK – Kajol starrer My Name Is Khan.
It is reportedly around Rs 175 crore (75 crore for the yet untitled Mansukhani film and 100 crore for MNIK). Eros had approached KJo through SRK," an industry source reveals.
"SRK'''s home production, Om Shanti Om was sold for close to Rs. 70 crore to Eros. SRK, during his trip to the UK for the Zee Carnival, met with the Eros big wigs wherein they put forth the proposal to him to put it up for KJo. SRK is learnt to have spoken to Karan regarding it and clearly telling him to put friendship on one side and business on the other.
The kind of money offered is almost more than double than what KJo would expect from Yash Raj for both his films. At the same time, SRK it seems is also speaking to Aditya over it on Karan's behalf making him understand Karan's predicament. He is ensuring either Adi increase his offer price to what the current market price for biggies of such proportions is or let Karan have his way. The ball is presently in Adi's court now," adds the source.
"SRK has always in the last few years never approached the Chopras for the distribution rights because he has always been a thorough professional who has never mixed business with friendship. It is high time he expects Karan too follows suit. Next in the pipeline might be Rakesh Roshan, who too is being offered unheard of sums for his Krrish 2. He has been distributing his last few films like Koi Mil Gaya and Krrish through Yash Raj for a lesser price as compared to the market rate," the source concludes.
But one thing is sure industry insiders say. “Whether this deal happens between them or not, Adi and Karan are not going to go their separate ways.”
"Every Dharma Productions film by Karan Johar has been distributed by Yash Raj worldwide. Though the rights price increased with every released film as they all went on to become super hits, it was still considerably low as compared to new players in the market – the corporate companies such as UTV or Eros or even big distributors like Ashtavinayak were willing to offer.
But due to his equation with Adi, Karan never thought twice about it, but now he is in two minds with a joint offer by Eros for the Abhishek Bachchan– Priyanka Chopra – John Abraham starrer directed by Tarun Mansukhani and for KJo’s SRK – Kajol starrer My Name Is Khan.
It is reportedly around Rs 175 crore (75 crore for the yet untitled Mansukhani film and 100 crore for MNIK). Eros had approached KJo through SRK," an industry source reveals.
"SRK'''s home production, Om Shanti Om was sold for close to Rs. 70 crore to Eros. SRK, during his trip to the UK for the Zee Carnival, met with the Eros big wigs wherein they put forth the proposal to him to put it up for KJo. SRK is learnt to have spoken to Karan regarding it and clearly telling him to put friendship on one side and business on the other.
The kind of money offered is almost more than double than what KJo would expect from Yash Raj for both his films. At the same time, SRK it seems is also speaking to Aditya over it on Karan's behalf making him understand Karan's predicament. He is ensuring either Adi increase his offer price to what the current market price for biggies of such proportions is or let Karan have his way. The ball is presently in Adi's court now," adds the source.
"SRK has always in the last few years never approached the Chopras for the distribution rights because he has always been a thorough professional who has never mixed business with friendship. It is high time he expects Karan too follows suit. Next in the pipeline might be Rakesh Roshan, who too is being offered unheard of sums for his Krrish 2. He has been distributing his last few films like Koi Mil Gaya and Krrish through Yash Raj for a lesser price as compared to the market rate," the source concludes.
But one thing is sure industry insiders say. “Whether this deal happens between them or not, Adi and Karan are not going to go their separate ways.”
Kaafi with Karan
Johar wants Chopras to re-negotiate the terms for his next film Dostana; meanwhile, he is talking to other distributors
Karan Johar shares a personal equation with Yash Chopra and his son Aditya. Karan calls the Chopras ‘his family’, and has had many successful business dealings with them as well, as Yash Raj Films has distributed all of KJo’s films.
However, this may change with Dharma Productions’ next project, which is being directed by Tarun Mansukhani.
The Chopras are known for driving hard bargains. They are in the position to call the shots and pay stars a pittance for acting in their films.
Also, when it comes to distributing films, they make their own laws. Until now, they worked with Karan on a commission basis but now he wants a fresh deal with the Chopras.
Outright price
After proving his worth at the box office, the talented filmmaker believes he deserves a bigger slice of the revenue the film earns.
“Karan recently met up with Adi and told him that he doesn’t want him to distribute Dostana on a commission basis. He said that he would like to continue being associated with YRF but he wants them to pay him an outright price for the film,” says an industry insider.
SRK’s push did it
If Adi doesn’t accept Karan’s terms, he’s willing to take his film to Eros for distribution. Adi and Karan will sit down soon to sort out the details.
It wasn’t easy for Karan to make this decision, and one he would not have made without a gentle push from his good friend SRK. Shah Rukh advised him to keep his personal equations aside while making a business deal.
Insiders reveal, “It was Shah Rukh’s suggestion that if Yash Raj wasn’t ready to buy his movie at an outright price then he should approach Eros. Now, Karan is busy weighing his options and taking a final call.”
Also on the table is the option of Karan taking the film to an international studio for distribution. Will YRF give in to KJo’s demands? Watch this space for more.
Karan Johar shares a personal equation with Yash Chopra and his son Aditya. Karan calls the Chopras ‘his family’, and has had many successful business dealings with them as well, as Yash Raj Films has distributed all of KJo’s films.
However, this may change with Dharma Productions’ next project, which is being directed by Tarun Mansukhani.
The Chopras are known for driving hard bargains. They are in the position to call the shots and pay stars a pittance for acting in their films.
Also, when it comes to distributing films, they make their own laws. Until now, they worked with Karan on a commission basis but now he wants a fresh deal with the Chopras.
Outright price
After proving his worth at the box office, the talented filmmaker believes he deserves a bigger slice of the revenue the film earns.
“Karan recently met up with Adi and told him that he doesn’t want him to distribute Dostana on a commission basis. He said that he would like to continue being associated with YRF but he wants them to pay him an outright price for the film,” says an industry insider.
SRK’s push did it
If Adi doesn’t accept Karan’s terms, he’s willing to take his film to Eros for distribution. Adi and Karan will sit down soon to sort out the details.
It wasn’t easy for Karan to make this decision, and one he would not have made without a gentle push from his good friend SRK. Shah Rukh advised him to keep his personal equations aside while making a business deal.
Insiders reveal, “It was Shah Rukh’s suggestion that if Yash Raj wasn’t ready to buy his movie at an outright price then he should approach Eros. Now, Karan is busy weighing his options and taking a final call.”
Also on the table is the option of Karan taking the film to an international studio for distribution. Will YRF give in to KJo’s demands? Watch this space for more.
Yash Raj Films to launch TV channel
YRF is planning to launch a general entertainment channel (GEC) by the second half of 2008. Ravina Raj Kohli, who was earlier president of STAR News, has been roped in to head the channel. She was head of programming and marketing at Sony Entertainment Television (SET) and also responsible for setting up Nine Gold on DD Metro.
The content of the YRF channel will be different from the typical ‘saas-bahu’ shows and will include programming such as reality shows, documentaries, human interest stories and issue oriented shows. Besides, the channel will feature the movies and music releases that Yash Raj Films has produced over the years. The company is currently in talks with leading television production houses for its TV debut.
When contacted, YRF officials confirmed their company’s foray into the television segment, but refused to divulge any further details. YRF aims to become an integrated entertainment company. Television apart, it will venture into multiplexes. It is estimated that multiplex owners earn 60-70 per cent of the box office revenues from films produced by YRF.
Last year, the company ventured into film distribution, and a few years ago, it launched Yash Raj Music to release audio CDs and DVDs of its films under the Yash Raj Films Home Entertainment label. Entry into the television and movie theatre space will complete the circle for the organisation in the entertainment segment.
The content of the YRF channel will be different from the typical ‘saas-bahu’ shows and will include programming such as reality shows, documentaries, human interest stories and issue oriented shows. Besides, the channel will feature the movies and music releases that Yash Raj Films has produced over the years. The company is currently in talks with leading television production houses for its TV debut.
When contacted, YRF officials confirmed their company’s foray into the television segment, but refused to divulge any further details. YRF aims to become an integrated entertainment company. Television apart, it will venture into multiplexes. It is estimated that multiplex owners earn 60-70 per cent of the box office revenues from films produced by YRF.
Last year, the company ventured into film distribution, and a few years ago, it launched Yash Raj Music to release audio CDs and DVDs of its films under the Yash Raj Films Home Entertainment label. Entry into the television and movie theatre space will complete the circle for the organisation in the entertainment segment.
King Yash reads the signs, relents on revenue sharing
You wouldn't expect Yash Chopra, the reigning king of Bollywood, to indulge in such marketing tactics. But with Jhoom Barabar Jhoom tanking in the box office, last week, Chopra is believed to have offered discounts on the revenue he was sharing with multiplex owners to ensure that the movie is not masked out of theatres.
Only a few months ago, Tinsel Town’s badshaah had shown his clout by forcing most multiplex owners to fork out a larger part of their revenues as his share for all movies produced by his production company.
Admits Sanjeev Kohli CEO Yash Raj Films : “Jhoom did very well in its first week but in its second week it did not perform as expected; as a gesture Yash Raj Films has given a rebate of 5 per cent on the revenue sharing proportion with multiplexes.”
Only a few months ago, Tinsel Town’s badshaah had shown his clout by forcing most multiplex owners to fork out a larger part of their revenues as his share for all movies produced by his production company.
Admits Sanjeev Kohli CEO Yash Raj Films : “Jhoom did very well in its first week but in its second week it did not perform as expected; as a gesture Yash Raj Films has given a rebate of 5 per cent on the revenue sharing proportion with multiplexes.”
Disney enters venture with India's Yash Raj Films
NEW YORK (Reuters) -- Walt Disney Co. is set to announce a joint venture with India's Yash Raj Films to make animated films voiced by Indian movie stars, the Wall Street Journal said in its online edition Monday.
In Mumbai, a spokeswoman for Yash Raj declined comment on the specifics of the report, but said a press conference was scheduled for Tuesday and that it concerned Disney
The report said the venture will make at least one animated film per year. A spokeswoman for Disney did not immediately return a call seeking comment.
Disney is looking for a bigger share of India's rapidly growing media and entertainment market.
Last year it bought Hungama, a Hindi-language children's entertainment channel from UTV Software Communications Ltd.and also took a 14.9 percent stake in the broadcaster
In Mumbai, a spokeswoman for Yash Raj declined comment on the specifics of the report, but said a press conference was scheduled for Tuesday and that it concerned Disney
The report said the venture will make at least one animated film per year. A spokeswoman for Disney did not immediately return a call seeking comment.
Disney is looking for a bigger share of India's rapidly growing media and entertainment market.
Last year it bought Hungama, a Hindi-language children's entertainment channel from UTV Software Communications Ltd.and also took a 14.9 percent stake in the broadcaster
Yash Raj Films scripting role for multiplex biz
MUMBAI: Yash Raj Films (YRF) is all set to muscle its way into the multiplex space. The strategy is in keeping with the company’s attempt to straddle the entire value chain and maximise revenues.
It is believed that YRF is in talks with the US private equity player, Comm Ventures, for the same. Besides pumping money into YRF’s expansion plans, Comm Ventures will also help YRF meet requirements for the expansion plan of its production business as well.
While YRF refused to comment on either of these developments, sources reveal that Comm Ventures is looking at picking up a 15%-20% stake for about Rs 150-200 crore. The attempt to straddle the entire value chain has been on the anvil. The attempt was made earlier this year when Yash Raj Films marketed its own music in the overseas territories under its own label, Yash Raj Music.
The company is already engaged in theatrical distribution, both domestic and overseas and distribution of DVDs besides owning other home entertainment formats in the overseas territories. The only area where the company does not have a presence is the exhibitor (in film industry parlance the cinema hall) space, and this move would close the loop.
However, straddling the value chain is only part of the reason for YRF’s keenness to enter the exhibition space. Many observers believe that a big reason for launching its own brand of multiplexes stems from the recent spate of differences YRF has been having with exhibitors.
The row first came to the forefront when the Aamir Khan-Kajol starrer Fanaa released in May 2006. Yash Raj Films demanded a 7-10% hike in its share from multiplex owners to garner a larger share of the profits. Their rationale being that YRF films put more people in multiplex seats.
A similar demand was also made to single-screen cinemas with the ultimatum being — pay up or you cannot screen the film. The move raised hackles among exhibitors and a certain section of the paying public. Ever since the relationship between Yashraj and the exhibitors has been a fractious, similar rows have occurred with Dhoom 2, late last year and more recently with the last YRF release Ta Ra Rum Pum, with the production house demanding 50% share of collections.
For YRF, the move is an important one because it intends to ramp up the number of films it produces significantly and ownership of cinema halls would mean it could avoid this stand-off with exhibitors. Also, with YRF controlling the entire value chain, it will not only be able to yield better revenue but also have a much stronger voice in the industry.
It is believed that YRF is in talks with the US private equity player, Comm Ventures, for the same. Besides pumping money into YRF’s expansion plans, Comm Ventures will also help YRF meet requirements for the expansion plan of its production business as well.
While YRF refused to comment on either of these developments, sources reveal that Comm Ventures is looking at picking up a 15%-20% stake for about Rs 150-200 crore. The attempt to straddle the entire value chain has been on the anvil. The attempt was made earlier this year when Yash Raj Films marketed its own music in the overseas territories under its own label, Yash Raj Music.
The company is already engaged in theatrical distribution, both domestic and overseas and distribution of DVDs besides owning other home entertainment formats in the overseas territories. The only area where the company does not have a presence is the exhibitor (in film industry parlance the cinema hall) space, and this move would close the loop.
However, straddling the value chain is only part of the reason for YRF’s keenness to enter the exhibition space. Many observers believe that a big reason for launching its own brand of multiplexes stems from the recent spate of differences YRF has been having with exhibitors.
The row first came to the forefront when the Aamir Khan-Kajol starrer Fanaa released in May 2006. Yash Raj Films demanded a 7-10% hike in its share from multiplex owners to garner a larger share of the profits. Their rationale being that YRF films put more people in multiplex seats.
A similar demand was also made to single-screen cinemas with the ultimatum being — pay up or you cannot screen the film. The move raised hackles among exhibitors and a certain section of the paying public. Ever since the relationship between Yashraj and the exhibitors has been a fractious, similar rows have occurred with Dhoom 2, late last year and more recently with the last YRF release Ta Ra Rum Pum, with the production house demanding 50% share of collections.
For YRF, the move is an important one because it intends to ramp up the number of films it produces significantly and ownership of cinema halls would mean it could avoid this stand-off with exhibitors. Also, with YRF controlling the entire value chain, it will not only be able to yield better revenue but also have a much stronger voice in the industry.
Yash Chopra eyes tier II cities
Yash Chopra eyes tier II cities
Filmmaker Yash Chopra, whose Yash Raj Films has just secured a higher share of the revenue from theatres in big cities, has now turned his attention to tier II cities, where he is said to be asking for even more.
Armed with a reputation to deliver hits consistently, this week struck a deal with movie exhibitors under which his company will get 50 per cent of the revenue earned through ticket sales in the first week, 45 per cent in the second and 40 per cent in the third.
For the tier II cities, according to industry sources, Chopra is demanding 60, 55 and 50 per cent of the ticket sales in the first, second and third weeks, respectively.
"We have signed on with the production house for all the forthcoming movies under the Yash Raj Films banner,” said Cinemax general manager (marketing & sales) Devang Sampat about the arrangement in the big cities.
However, most of the major multiplexes have closed the five-movie deal the production house proposed but only in certain cities. They still haven't reached a deal for exhibiting films in tier II cities like Lucknow, Ghaziabad, Aurangabad, Indore, etc.
Multiplex owners hope to reach an agreeable revenue-share arrangement before the weekend.
"Inox has signed on with Yash Raj Films till year end on terms put forth by the production house. However, this is true only for Inox properties in Maharashtra," said Shrikanth Hazare, vice president - marketing, Inox.
The theatre chain is still negotiating with the production house for its properties in Indore, Kolkata, Banglore and Chennai. PVR Cinema and Shringar Cinemas faces a similar dilemma.
While Shringar Cinemas' spokesperson refused to comment, PVR Cinema's COO-films cell, Ashish Saxena said, "We have agreed on Yash Raj Films' revenue sharing proposition and have closed the deal for our properties in North India. But, PVR is in talks to finalise deals for tier II cities. We hope to close the deal soon."
Filmmaker Yash Chopra, whose Yash Raj Films has just secured a higher share of the revenue from theatres in big cities, has now turned his attention to tier II cities, where he is said to be asking for even more.
Armed with a reputation to deliver hits consistently, this week struck a deal with movie exhibitors under which his company will get 50 per cent of the revenue earned through ticket sales in the first week, 45 per cent in the second and 40 per cent in the third.
For the tier II cities, according to industry sources, Chopra is demanding 60, 55 and 50 per cent of the ticket sales in the first, second and third weeks, respectively.
"We have signed on with the production house for all the forthcoming movies under the Yash Raj Films banner,” said Cinemax general manager (marketing & sales) Devang Sampat about the arrangement in the big cities.
However, most of the major multiplexes have closed the five-movie deal the production house proposed but only in certain cities. They still haven't reached a deal for exhibiting films in tier II cities like Lucknow, Ghaziabad, Aurangabad, Indore, etc.
Multiplex owners hope to reach an agreeable revenue-share arrangement before the weekend.
"Inox has signed on with Yash Raj Films till year end on terms put forth by the production house. However, this is true only for Inox properties in Maharashtra," said Shrikanth Hazare, vice president - marketing, Inox.
The theatre chain is still negotiating with the production house for its properties in Indore, Kolkata, Banglore and Chennai. PVR Cinema and Shringar Cinemas faces a similar dilemma.
While Shringar Cinemas' spokesperson refused to comment, PVR Cinema's COO-films cell, Ashish Saxena said, "We have agreed on Yash Raj Films' revenue sharing proposition and have closed the deal for our properties in North India. But, PVR is in talks to finalise deals for tier II cities. We hope to close the deal soon."
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