Pentamedia to buy US-based Improvision

MUMBAI: Indian multimedia software firm Pentamedia Graphics Ltd. on Wednesday
said it is buying California-based movie production company Improvision Corp for
$19.8 million in stock. Pentamedia will offer 3.3 million Global Depositary
Receipts to acquire Improvision, the company said in a statement.

It said the acquisition would help strengthen its pre-production and
post-production skills and also its distribution reach in the United States.

Improvision produced the animated film "Sinbad-Beyond the Veil of
Mists" helped by Pentamedia, which was released last year and is working on
a sequel. It is also making two live action films. Pentamedia said it expects
potential revenues from gaming, merchandising and home videos as a result of
this acquisition.

Pentamedia, which is India's leading entertainment software firm, has been on
an acquisition spree recently and has shareholder permission for more. It
acquired US-based Film Roman Inc last year and has also purchased three local
content firms - Media Dreams Ltd., Mayajaal and Krish Srikkanth Sports and
Entertainment Ltd.

Pentamedia shares closed 3.65 per cent down at Rs 217.40 on the Bombay Stock
Exchange, while the benchmark exchange index ended 1.31 per cent down.

(C) Reuters Limited 2001.