Now here‘s a channel that will definitely give Star movies a run for its money. Come 1 September and Home Box Office or HBO as it is popularly known will air movies as a new entity in South Asia.
The new entity will have four of the worlds biggest studios with an equal stake in the venture. These studios banners include Warner Brothers, Sony Pictures Entertainment, Universal Studios and Paramount Pictures.

With a library from all these banners available, the channel promises that there will be 52 new premiers throughout the year - one every week.

HBO was launched in India earlier this year on March 27. But then it had a very limited library because of a standoff between Turner and Sony Entertainment Television. The latter had insisted that it be given the distribution and ad sales contract for the channel in India. Otherwise, it would not part with its Columbia/Tristar library for the Indian HBO channel.

But then Sony decided that it would put an end to the quarreling and withdraw its distribution and marketing bid, thus allowing its library to be used for the India service. The other two participating companies also concurred thus lifting the obstacles for the launch of the mega-movie channel in the region.

According to channel officials, these changes would not result in a rise in the cable rate per subscriber, which currently is Rs 6. The channel will also introduce ad slots. HBO till now was an ad free movie channel.

The new channel will be a feast for the couch potatoes with an impressive line up of movies like Godzilla, The Mask of Zoro, Forest Gump, The Trueman Show and the likes.

UTV chairman Ronnie Screwvala denied any possibilities of Vijay TV being taken over by Star TV. This was to clear the faux pas made by The Economic Times on 3rd August,2000 in their article "Star TV makes moves to acquire Vijay TV".

The article mentioned the possibility of an acquisition of the Tamil language channel Vijay TV by the Rupert Murdoch‘s broadcasting platform. However, Screwvala clarified "There are absolutely no plans for Vijay TV being put for acquisition or any plans having being finalized between Star TV and Vijay TV". Star TV and UTV have been in discussion for Digital Distribution with the Star bouquet both in India and globally. That is the maximum extent of negotiations and discussions so far."

The Unit Trust of India has invested Rs 4.5 crores in Rathikant Basu promoted Broadcast Worldwide. Broadcast Worldwide, which promotes the TARA (Television Targeted at Regional Audience) group of channels, has picked up 10% of the Rs 45 crores which are to be raised in the second round of funding.

UTI is the second investor which has picked up a 3.3% stake in the total equity of the company. The shares having a face value of Rs 10 per share are being issued at a premium of Rs 40 per share to the investors. A venture capital company from Gujarat has already picked up Rs 5 crore equity in this second round of funding which is likely to close by the end of the month.

The company is being assisted in its second phase by Ashok Wadhwa of Ambit Corporate Finance Pvt Ltd.