Cinemax India Limited files Draft Red Herring Prospectus with SEBI for IPO

MUMBAI: Cinemax India Ltd., the exhibition theatre chain operating 10 properties with 33 screens and 9,316 seats, has filed its draft red herring prospectus with the Securities and Exchange Board of India (SEBI) for its proposed Initial Public Offering (IPO).

Cinemax proposes to use the proceeds from the IPO primarily to meet the capital expenditure to be incurred for setting up screens across India. Apart from the expansion funding, the proceeds will be also be utilised for General Corporate Purposes including Acquisitions, as per an official release.

Cinemax is part of the Mumbai-based real estate establishment Kanakia Group. For the year ended 31 March, 2006, Cinemax clocked a total income of Rs 438.60 million on a standalone basis with a net profit of Rs 67.64 million, states an official release.

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