City Pulse Multiventures Limited , a cinema theatre operator, is set to make a significant leap into the digital content space with the proposed acquisition of Matrubharti Technologies Private Limited, a regional language digital content platform. The company plans to issue 4.28 million equity shares in a share swap deal to acquire a 100% stake in Matrubharti, subject to shareholder approval at an Extraordinary General Meeting scheduled for August 8, 2025.

Strategic Expansion into Digital Content

The acquisition marks City Pulse's strategic move to expand its cinema business through forward integration into the rapidly growing digital content market. Matrubharti, a startup founded in 2017, has established itself as a vibrant storytelling platform with over 100,000 authors, 3 million readers, and more than 1 million stories in regional languages.

Share Swap Details

Under the proposed deal, City Pulse will issue 12 of its shares for every 1 share of Matrubharti, valuing each City Pulse share at Rs. 358.00. This share swap arrangement will result in the issuance of 4,275,900 new equity shares by City Pulse, subject to fractional adjustments.

Financial and Shareholding Impact

The acquisition is expected to significantly alter City Pulse's shareholding structure:

Rationale for Acquisition

City Pulse's management cites several strategic reasons for the acquisition:

1. Market Dominance: Immediate entry into the growing regional language digital content market.
2. Engaged Audience: Access to Matrubharti's established user base and content library.
3. Synergistic Growth: Opportunities for cross-promotion and expanded monetization strategies.
4. Value Creation: Positioning as a dominant player in a high-growth segment.

Corporate Actions

To facilitate this acquisition, City Pulse also proposes to increase its authorized share capital from Rs. 11.00 crores to Rs. 16.00 crores. This will be put to vote at the upcoming Extraordinary General Meeting.

Regulatory Compliance

The company has assured compliance with SEBI regulations, including obtaining necessary valuations from an independent registered valuer. The issue price of Rs. 358.00 per share has been determined based on the SEBI (ICDR) Regulations, 2018.

Looking Ahead

This acquisition represents a significant pivot for City Pulse Multiventures, potentially transforming it from a traditional cinema operator to a multi-faceted entertainment and content company. The success of this integration will be closely watched by investors and industry observers alike, as it could set a precedent for similar moves in the entertainment sector.

Shareholders will have the opportunity to vote on this proposal at the Extraordinary General Meeting, where the future direction of City Pulse Multiventures will be decided.

City Pulse Multiventures Limited has announced the launch of a new two-screen multiplex near Iscon Cross Road, SG Highway, Ahmedabad, Gujarat. The company officially opened the facility on July 25, 2025, marking a significant expansion in its multiplex operations.

Expansion Details

• New Facility: Two-screen multiplex
• Location: Near Iscon Cross Road, SG Highway, Ahmedabad, Gujarat
• Opening Date: July 25, 2025
• Ticket Bookings: Available on BookMyShow.com

Strategic Growth

This latest addition brings City Pulse Multiventures' total multiplex count from 5 to 7 locations, representing a 40% increase in its multiplex portfolio. The company has stated that this expansion is part of its broader strategy to grow its multiplex operations.

Financial Aspects

• Target Market: Domestic
• Financing: Internal accruals

Company Disclosure

In compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, City Pulse Multiventures Limited has formally disclosed the launch to the Bombay Stock Exchange. The disclosure, signed by Managing Director Arpit Rajnikant Mehta, provides additional insights into the company's expansion strategy.

Impact on Capacity

The company's decision to finance the expansion through internal accruals suggests a strong financial position and confidence in the potential returns from this new venture.

As the entertainment industry continues to evolve, City Pulse Multiventures' expansion in Ahmedabad reflects the company's commitment to enhancing its presence in the multiplex sector. This strategic move may potentially strengthen its market position and offer increased entertainment options for moviegoers in the region.