Posted:
Star scraps three shows produced by Balaji
Channel says two other shows may be dropped on content and ratings issues; move may hit production firm hard
Mumbai: Broadcast network Star Group Ltd, which exited a joint venture with Balaji Telefilms Ltd and is looking to sell its 25.99% stake in the television production house, has now decided to scrap three soap operas being produced for it by Balaji.
Off air: A still from 'Karam Apnaa Apnaa', one of the serials produced by Balaji Telefilms to be dropped. Pallavi Subhash / HT
Balaji's founder Jeetendra Kapoor, a Bollywood actor, said he wasn't aware of the development.
Two other Balaji shows on Star, Tujh Sang Preet Lagai Sajna and Kis Desh Mein Hai Meraa Dil, may be scrapped as well, added the Star executive.
Television and media industry executives familiar with the matter say the loss of Star business on the five serials could erode Balaji's revenue significantly.
Mint couldn't independently ascertain how much these shows contributed to Balaji's revenue.
The top-rated show among the five in January was Karam Apnaa Apnaa, with a 1.2 viewership rating, according to media agency Mediaedge: cia, part of GroupM India Pvt. Ltd. Comparable numbers for the top-rated programme weren't immediately available but in 2008, the top show on general entertainment channels boasted ratings of around 8.
Balaji ended 2007-08 with a revenue of Rs328.97 crore and a net profit of Rs81.26 crore. It ended the first six months of 2008-09 with a revenue of Rs194.93 crore and a net profit of Rs40.38 crore.
Shares of Balaji ended trading on the Bombay Stock Exchange on Tuesday at Rs39 each. The shares are 82.89% off their 52-week high of Rs228.
Balaji Telefilms rose into prominence with shows such as Kahani Ghar Ghar Ki and Kyunki Saas Bhi Kabhi Bahu Thi, which ran on Star Plus and became top-rated shows at the time.
In 2004, Star bought a 25.99% stake in the company. Last year, the network offered Balaji promoters an option to buy back these shares. Star and Balaji had also announced a joint venture in April 2007 to launch regional language entertainment channels. The venture fell apart last year.
Mint has previously reported that Balaji is now talking to a consortium of investors to buy Star's stake. "At the moment, there is no development on the stake matter," said the Star executive.
An executive from a rival production house says the scrapping of the shows will hit Balaji hard. "Their main problem is that they were relying too much on Star. They have very few shows running on the other channels. Channels have been delaying payments to them and even shows on NDTV Imagine such as Bandini are not performing very well for them in ratings."
Balaji will have to rethink strategy on programming, added the executive at the rival production house.
Mediaedge:cia India managing director Shubha George said that the general entertainment space is becoming extremely competitive and that the GEC (general entertainment channel) space has lost at least 8% in viewership (in gross rating points, which is sum of viewership rating points over a set period) last year.
"Star's shows have not been doing exceedingly well, but they've not been doing badly either. I think it's a case of too much fragmentation in the general entertainment space. Players are almost neck-to-neck with each other."
anushree.m@livemint.com
http://www.livemint.com/2009/02/11003513/Star-scraps-three-shows-produc.html?h=B
Wednesday - Feb 11, 2009
http://www.livemint.com/2009/02/11003513/Star-scraps-three-shows-produc.html?h=B
Star Plus scraps three more Balaji Telefilms shows
Televisionpoint.com Correspondent | Mumbai
Star Plus, the number one Hindi general entertainment channel, has decided to scrap three soap operas being produced for it by Balaji Telefilms. The three show are Kayamath, Karam Apnaa Apnaa and Kasturi, which have been shown the door, as they have not been faring well in TV ratings.
All the three shows are almost two years old on the channel. Karam Apna Apna was in the afternoon block in the 2.00 pm slot; Kasturi was at 7.00 pm; while Kayamath was recently moved to the 11.30 pm slot from the 11.00 pm slot.
The channel had earlier given red signal to Kyunki Saas Bhi Kabhi Bahu Thi, Kahaani Ghar Ghar Ki and Kasautii Zindagi Kay. It is learnt that two other Balaji shows on Star Plus - Tujh Sang Preet Lagai Sajna and Kis Desh Mein Hai Meraa Dil, may be also scrapped as well.
The top-rated show among the five Balaji shows in January was Karam Apnaa Apnaa with a 1.2 viewership rating, according to TAM Media data. Comparable numbers for the top-rated programme weren't immediately available.
It maybe noted that in 2004, Star India bought a 25.99% stake in the company. However, Star is looking to sell its 25.99% stake in the television production house, and the broadcast network offered Balaji promoters an option to buy back these shares.
Star and Balaji had also announced a joint venture in April 2007 to launch regional language entertainment channels. The venture fell apart last year. It is learnt that Balaji is talking to a consortium of investors to buy Star's stake.
Star Plus, the number one Hindi general entertainment channel, has decided to scrap three soap operas being produced for it by Balaji Telefilms. The three show are Kayamath, Karam Apnaa Apnaa and Kasturi, which have been shown the door, as they have not been faring well in TV ratings.
All the three shows are almost two years old on the channel. Karam Apna Apna was in the afternoon block in the 2.00 pm slot; Kasturi was at 7.00 pm; while Kayamath was recently moved to the 11.30 pm slot from the 11.00 pm slot.
The channel had earlier given red signal to Kyunki Saas Bhi Kabhi Bahu Thi, Kahaani Ghar Ghar Ki and Kasautii Zindagi Kay. It is learnt that two other Balaji shows on Star Plus - Tujh Sang Preet Lagai Sajna and Kis Desh Mein Hai Meraa Dil, may be also scrapped as well.
The top-rated show among the five Balaji shows in January was Karam Apnaa Apnaa with a 1.2 viewership rating, according to TAM Media data. Comparable numbers for the top-rated programme weren't immediately available.
It maybe noted that in 2004, Star India bought a 25.99% stake in the company. However, Star is looking to sell its 25.99% stake in the television production house, and the broadcast network offered Balaji promoters an option to buy back these shares.
Star and Balaji had also announced a joint venture in April 2007 to launch regional language entertainment channels. The venture fell apart last year. It is learnt that Balaji is talking to a consortium of investors to buy Star's stake.
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