UTV Software Communications rose 2.74% at Rs. 977 at 09:19 IST on BSE after the government approved the proposal of the US-based Walt Disney Co to fully acquire the media firm.
Meanwhile, the BSE Sensex was down 49.65 points, or 0.29%, to 16,827.41
On BSE, 20,278 shares were traded in the counter as against an average daily volume of 17,394 shares in the past one quarter.
The stock hit a high of Rs. 983.95 and a low of Rs. 965.25 so far during the day. The stock had hit a 52-week high of Rs. 1050 on 26 July 2011 and a 52-week low of Rs. 386 on 10 February 2011.
The stock had outperformed the market over the past one month till 7 December 2011, rising 0.14% compared with the Sensex’s 3.9% fall. The scrip, however, undeperformed the market in past one quarter, declining 3.59% as against 1.1% decline in the Sensex.
The mid-cap media firm has an equity capital of Rs. 40.76 crore. Face value per share is Rs. 10.
A release published after market hours on Wednesday, 7 December 2011 showed the Cabinet Committee on Economic Affairs (CCEA) has approved the proposal of Walt Disney Company (Southeast Asia) Pte, Singapore for increasing its stake in UTV Software Communications pursuant to the Foreign Investment Promotion Board recommendation in its meeting held on 15 November 2011. This approval is expected to result in foreign direct investment inflows amounting to Rs. 8250 crore, the CCEA release said.
Foreign promoter Walt Disney Company plans acquire 100% stake in UTV Software Communications and delist the latter’s shares from the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). Walt Disney Company held 50.28% stake in UTV Software Communications while 19.75% is held by other promoters–Rohinton Screwvala, Unilazer Exports and Management Consultants, Unilazer (Hong Kong) and Zarine Mehta. The total promoter holding in UTV Software Communications is 70.04% as at end September 2011. The delisting proposal has been approved by UTV Software Communications’ board of directors at a board meeting held on 25 July 2011.
UTV Software said the acquisition of shares from the public shareholders may be made at a price not exceeding Rs. 1,000 per share and the delisting will be carried out in accordance with Sebi delisting norms.
On a consolidated basis, UTV Software Communications reported net loss of Rs. 28.86 crore in Q2 September 2011 compared with net profit of Rs. 40.18 crore in Q2 September 2010. Net sales rose 0.1% to Rs. 240.04 crore in Q2 September 2011 over Q2 September 2010.

Source:http://www.indiainfoline.com/Markets/News/UTV-Software-spurts-as-Govt-clears-buyout-by-Walt-Disney/4065185663