A quick look at some of the recently launched IPOs in the media segment reveals a mixed performance. However, marketmen are positive and are not perturbed by the Bharat Shah episode anymore. Out of the eight recently launched IPOs of media and entertainment stocks, five are quoting below their offer price. There has been a positive sign among these stocks with the start of a gradual recovery process from last Thursday. Balaji Telefilms, Mukta Arts and Padmalaya Telefilms have been traded above their offer price. Seeing this upward trend and the market potentialities for Hindi movies both in India and abroad, the primary market would witness many more media IPOs trying to tap the primary market, feel some merchant bankers.

Speaking to The Financial Express, Keynote Corporate Services Ltd managing director Madhuprasad B said, "Now Bollywood-based multimedia companies would try to corporatise themselves. Since the number of Hindi movie-goers is growing rapidly and the profitability of selling movies outside seems to be very high, the Indian multimedia companies would target the foreign markets." Meghraj Financial Services (I) Pvt Ltd chief executive officer Anand Kumar said, "Since media & entertainment companies have been given industry status, it is appropriate for them to enter the market.

Bharat Shah stalemate would not have any long-term impact on the performance of these stocks. Moreover, since dotcoms have almost vanished, investors would turn to media and entertainment stocks. So, this sector is going to be an attractive destination for investors."

According to Networth Stock Broking research analyst Mehul Shah, "The demand for media stocks would tilted towards selective counters like Balaji Telefilms and Mukta Arts. The rise in prices of the first-tier companies would also push the prices in others."

Mr Madhuprasad further added that in the Middle East and Egypt the craze is much more, where people are ready to pay $40-50 per cassette as rent. The Indian media companies have sensed this sentiment prevailing in the markets abroad. The aim is to get corporate status, which would drive them to the primary market. This would also give them a stamp of marketing capability and marketing will be easier abroad.