In a strategic move, Plenty Private Group and Multiples Private Group are likely to divest a combined 2.33% stake in India's largest multiplex operator PVR Inox, sources privy to the developments told CNBC-TV18.
The offer size is estimated at ₹404.5 crore, sources in the know told CNBC-TV18. The offer is expected to be priced at ₹1,750-1,769.5 per share, presenting a potential discount of up to 1.12% on the closing price, sources close to the development said.
Kotak Securities has been enlisted as the banker for the deal, sources said.
PVR Inox recorded a profit of ₹166 crore in the July to September quarter against a loss of ₹82 crore in the preceding quarter. The company’s revenue for the second quarter of the fiscal rose more than 53% sequentially to ₹1,999.9 crore.
In the quarter ended September 30, PVR Inox saw a massive jump of 830 basis points on a quarter-on-quarter basis to 35.3%. The company's operating profit or earnings before interest and taxes (EBIT), meanwhile, has doubled from ₹353 crore in the June quarter to ₹706.8 crore in the September quarter.
The second quarter of the financial year was the best quarter of all time for PVR INOX in terms of admissions, average ticket price, and spending per head, leading to the highest-ever revenue, profit after tax (PAT) and earnings before interest, taxes, depreciation, and amortisation (EBITDA), the firm said in a statement.
PVR-INOX Ltd was created after the merger of two leading cinema brands PVR Ltd and INOX Leisure. The merger was effective from February 6, 2023. Overall, including its property in Colombo, it operates 1,711 screens at 359 properties across 114 cities in India and Sri Lanka.
Shares of PVR Inox Ltd ended at ₹1,770.40, up by ₹19.55, or 1.12%, on the BSE.
