Multiplex owners pitch for theatrical shows first

New Delhi, May 4: Following the footsteps of Facebook, Silver Lake Partners—the world's largest tech investor—on Monday agreed to invest Rs 5,655.75 crore to buy a

1.15 per cent stake in billionaire Mukesh Ambani's digital unit that houses India's youngest but biggest telecom firm.

The investment in Jio Platforms is at a 12.5 per cent premium to the Facebook's $5.7 billion (Rs

43,574 crore) investment for a 9.99 per cent stake in the firm.

The deal, as well as some other strategic and financial investments in works, will help Ambani cut debt at its oil-to-telecom conglomerate, Reliance Industries Ltd.

"Silver Lake will invest Rs 5,655.75 crore into Jio Platforms," Reliance said in a statement. "This investment values Jio Platforms at an equity value of Rs 4.90 lakh crore and an enterprise value of Rs 5.15 lakh crore and represents a

12.5 per cent premium to the equity valuation of the Facebook investment announced on April 22,

2020."

Jio Platforms of RIL.

Facebook had bought a

9.99 per cent stake in Jio Platforms for $5.7 billion at an enterprise value of Rs 4.62 lakh crore. is a subsidiary

After 44-day shutdown, Hero MotoCorp, India’s biggest motorcycle maker, is commencing production in a graded manner at its three manufacturing plants at Gurugram and Dharuhera (both in Haryana), Haridwar (Uttarakhand) and additionally the Global Parts Center (GPC) at Neemrana in Rajasthan from Monday and full production will start on Wednesday.

Other two-wheeler majors such as Honda Motorcycle & Scooter India, Bajaj Auto, TVS

Strategic and financial investors are to form 20 per cent of Jio Platforms—half of this has been picked by Facebook. Silver Lake is one of the investors for the remaining stake and more such investments are likely.

Ambani, 63, chairman and managing director of RIL, had in August last year set a target of March

2021, to make his conglomerate net debt-free. But thanks to the Facebook deal, a Rs 53,125 crore rights issue, Silver Lake investment, and more stake sale to companies such as Saudi Aramco, the target is likely to be achieved by December.

"Reliance Jio Infocomm Ltd, which provides connectivity platform to over

388 million subscribers, will continue to be a wholly-owned subsidiary of Jio Platforms," a company statement said.

Motor, Royal Enfield and Yamaha Motor India, who are in ready-mode said they have yet to get a green nod from local administration to start production at their respective plants.

For the first time ever, Hero along with the rest of the industry registered zero sales in the domestic market last month.

The company had shut down all the plants in India as well as those in Bangladesh and Colombia on March 22, three days ahead of the mandatory lockdown announced by the government, in the wake of the spread of coronavirus pandemic.

Mumbai, May 4: Multiplex owners on Monday appealed to movie producers to adhere to the industry practice of having exclusive time for theatrical shows before selling the rights to a digital or satellite player for exhibition of films.

As per the industry practice, initial eight weeks of a movie release are kept as exclusive theatrical window before its rights are sold to satellite channels or over the top platforms like Netflix or Amazon.

The appeal by the Multiplex Association of India (MAI) comes amidst concerns of movie makers selling out the rights to digital or satellite players, possibly because of immediate liquidity needs, as multiplexes continue to remain shut due to the lockdown.

We urge all studios, producers, artistes and other content creators to kindly respect the exclusive theatrical window, which has been a time tested industry practice, MAI said in a statement.

New Delhi, April 4: Indian consumer goods giant ITC has warned some workers of disciplinary action and pay cuts for missing work during the coronavirus crisis, prompting a showdown with at least two unions, letters from both parties show.

The problems at ITC food plants in Maharashtra and Karnataka underscore labour issues facing firms in India, where a lockdown forced thousands of workers to return to their villages.

ITC is one of India’s top consumer goods companies with annual sales of $11 billion, producing staples such as flour, noodles and biscuits as well as being the country’s biggest cigarette manufacturer.

In notices to employees of at least two food factories dated April 29, which were seen by Reuters, ITC said the attendance of some workers in April was irregular while some had not reported at all, even though factories were open.

ITC said in a statement it had seen “tremendous co-operation” by workers to meet the demand of essential goods, and it had taken adequate safety measures at its factories.

And it said more than 50,000 workers have been paid in the last month, irrespective of their presence. Food production has been classified as essential by the government during the nationwide lockdown.

While ITC had so far not taken any action against workers, the company notices said “absence without leave” would lead to salary cuts and “disciplinary action”, without elaborating.

The ITC Foods Employees Union in Pune wrote to the company condemning the move, pointing out that many workers were back in their villages or staying in areas still under lockdown.

While ITC said in its notice it had taken adequate safety measures, the union said some workers were travelling in unsafe conditions without masks and social distancing.

“You are forcing more workers to report to duty which may put us all in danger,” the union said in its letter, which was dated April 30 and also seen by Reuters.

The Geneva-based International Union of Food Workers is helping ITC’s Pune employees union reach a resolution with local management, IUF India Campaign Officer Pravin Khotkar said.

At ITC’s Pune food plant, only around 100 of the 217 factory employees were currently reporting for work, with some still back in their villages around 300 km away, a union member told Reuters on Monday.

“People were scared initially so they left,” said the union member on condition of anonymity. “They are still scared, but figuring how to come (back) after the company warning.”

“It is unfortunate that a few employees ... have chosen to absent themselves from work ... It is disheartening that a union is taking this unfortunate stand to defend the errant workers,” ITC said.