Disney has announced the acquisition of Ignition parent company UTV Software Communications, as a means of expanding its entertainment reach in India.
Reports were circulating last year
that Disney was looking to buy out India-based UTV, given that it held around 50.4 percent of the equity share capital for the company. UTV houses Ignition Entertainment, which has published the likes of Deadly Premonition
and The King of Fighters XII
Disney has now stated that it will acquire a controlling interest in UTV through a subsidiary, and delist the UTV shares from the stock market, allowing it to integrate the company's current operations into its own.
As part of the acquisition, Disney will also gain UTV's Indiagames mobile gaming portfolio. Indiagames is one of the leading mobile games companies in India.
Ronnie Screwvala, UTV CEO and now managing director of Disney India, said, "In combining the creative capabilities of each company we will integrate a large stable of vibrant brands and franchises in the branded entertainment space."
"With the middle class expected to grow from 50 million to more than 500 million people by 2025, this market offers huge potential for us to deliver quality branded entertainment to consumers."