Eros to invest $25 million to develop original content for online channel : Economic Times

MUMBAI: Eros International is investing $25 million, or about Rs 160 crore, in developing

original content for its fully­owned online channel ErosNow, said Jyoti Deshpande, group

CEO and managing director at the Mumbaibased film production house. "Original content is

the way forward," she said.

In India for the official marketing launch of ErosNow, Deshpande refused to comment on

recent media reports that two of Eros International's top shareholders, Temasek and

Fullerton Fund Management, were in talks to acquire up to 10 per cent stake in ErosNow. A

couple of people close to the NYSE­listed company is ready to dilute up to 10 per cent stake

in the online channel and, according to media analysts, it could fetch up to Rs 500 crore.

Deshpande said, "We are poised to take advantage of the brisklygrowing broadband

penetration and the imminent launch of 4G technology to reach out to the potential audience

offered by close to a billion mobile connections."

Also, a huge upsurge is expected in advertising spend on the digital platform. A Goldman

Sachs report predicted it to touch $2.7 billion by 2020.

"As consumption patterns change globally, Internet entertainment networks have begun to replace traditional, linear television,"

Deshpande said. "With the strength of our vast content library, Eros will reinvent itself from a film studio to a more consumer facing content and digital company in the next phase of growth," she said.

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