Kotak Mahindra Capital Company, is the lead manager for the issue. UTV would offer a fresh issue of 36,60,000 equity shares of Rs 5 each at a price to be fixed later depending upon the market situation. Also there would be an offer of 20,00,000 equity shares of Rs 5 each for sale by existing shareholder. This would include a book-built portion of 50,94,000 equity shares and fixed price portion of 5,66,000 equity shares. The book-built portion is 90 per cent of the offer and the fixed price portion is 10 per cent of the offer. The equity shares are proposed to be listed on the major stock exchanges.

Speaking to The Financial Express, company sources said, "The proceeds of the public issue would be used for different investment and future acquisitions purposes and to enable the company to impart liquidity to the employee stock option plan".

The company would require Rs 48 crore to meet its investment and acquisition plans, of which an estimated Rs 26.18 crore would be invested in its South East Asian subsidiaries to enable them to pre-pay their existing long term debt. Also it would invest Rs 7.34 crore in animation co-production for worldwide distribution through its 100 per cent subsidiary -United Studios Ltd (USL) which is proposed to be merged into the company. The remaining capital raised from the issue would be utilised to improve the infrastructure of USL by installation of a state-of-the-art Telecine Facility.

UTV is currently involved in TV programming, air time sales, ad film production, inflight entertainment programming, event management and motion pictures production and distribution.