MUMBAI: BAG Films & Media will hold a majority stake in a television and film production company floated by Saurabh Tewari.

"The deal is being structured. BAG Films will take a 51 per cent stake in the new production company," a source familiar with the development said.

BAG Films will infuse the capital over a period of two years, the source added.

Tewari‘s new venture, Nautanki Films, has already firmed up plans for two film projects that are set to go on floors early next year.

BAG Films & Media CMD Anurradha Prasad and Tewari could not be contacted for their comments.

"BAG Films has spread out into broadcasting and content production. By acquiring stake in the startup, it will seek to scale up its content business through a focused approach," a media analyst said.

Tewari worked in Imagine TV, the Hindi general entertainment channel which Turner acquired from NDTV, as fiction head. He has been behind unconventional shows like Gunahon Ka Devta, Chandragupt Maurya, Baba Aiso Varr Dhoondo, Preeto, Dwarkadheesh (Imagine TV) and Uttaran, Balika Vadhu, Laagi Tujhse Lagan, Bhagyavidhata (Colors).

"The production business is highly fragmented and margins are squeezed. But with more channels getting launched, there is scope to work on volumes," said a media tracker who works in a broking firm.