The board of Balaji Telefilms has approved the execution of agreement by the company with Star Group, Asian Broadcasting FZ-LLC and the promoters of the company, Jeetendra Kapoor, Shobha Kapoor, Ekta Kapoor and Tusshar Kapoor, whereby the parties have agreed to terminate in the manner specified in the agreement, the various agreements entered into between the parties inter-se in August 2004 in relation to the acquisition by ABF of a total of 25.99% of the share capital in the company. The agreements entered into between, the company and Star, in April 2007, relating to the regional languages joint venture will also be terminated.
Pursuant to the agreement, the promoters are entitled to purchase, on their own account / through third, party nominated by them, the entire shareholding held by ABF in the company for an average price of Rs 190 per share, within, a period not exceeding 240 days. If the purchase does not take place within the prescribed period, ABF is entitled to sell its shares in the company to any person other than a competitor of the company. The content supply agreements between Star and the company for various shows produced by company will be modified to remove the restrictions imposed upon the company relating to exclusively on certain prime time slots.
This was approved at the board meeting held on 18 August 2008.