TV18's Film India Company listing on AIM of London Stock Exchange

Eros, promoted by Kishore Lulla, did it successfully in 2006. Following into its footsteps, another Indian corporate, Film India Company (FIC), listed its shares on the Alternative Investment Market (AIM) of the London Stock Exchange on June 18. The third in line is Mumbai-based UTV, headed by Ronnie Screwvala. 

Market analysts say the trend indicates the arrival of Indian summer in London as more and more Indian companies are showing growing confidence against the backdrop of about 9 per cent economic growth this year.

The Indian Film Company successfully raised £55 million pounds before its listing. TV 18 holds a 21% stake in IFC, which has short listed 14 film projects.

"This is the first overseas listing for the Network 18 Group and we are excited to be in a position where we can invest substantial capital in this growing and lucrative business of film production," TV 18 Group chairman Raghav Bahl said. Bahl, pictured right, started his media career as a television presenter. For many years in the beginning of his career Bahl used to present and produce a weekly programme, Indian Business Report, on BBC World Television.

AIM is the London Stock Exchange's Alternative Investment Market, a global market for smaller growing companies, and it has generated a lot of interest among Indian companies and investors.

"The Indian affair with the AIM can be traced to a few inherent advantages such as lower entry barriers, simpler listing procedures, comparative flexibility and the perception of greater liquidity than exchanges, such as Luxembourg and Singapore. We are starting to see a few Indian mid-market companies looking at AIM market and the Indian business environment we are well positioned to serve the demand." Ajay Pandey of the UK-based investment bank, Elara Capital, said in a press interview.

Recently, The TV 18 Group recently entered into a tie-up with Viacom to set up a multi-platform entertainment company Viacom 18, aimed at developing as well as distributing digital media contents for television brands.

According to media reports 11 Indian or India-focused companies raised over £1bn on AIM last year. It's estimated that more than 20 Indian companies will float on London’s junior exchange in 2007, jointly generating £2.5bn in 2007. .