Disney to pull out of UTV partnership due to losses
After four years of collaboration between Walt Disney and UTV Motion Pictures, Disney is gearing up to end the partnership and pull the plug on its Hindi film production. Reportedly, the decision was taken as the company was incurring losses and due to an unviable partnership.
The managing director of Disney India Siddharth Roy Kapur, who had taken up the position in January 2014, will also quit the post after his contract gets over in January next year.
A report in The Economic Times quoted a highly placed source in the company as saying, "It is unfortunate that Disney has decided to pull the plug on the Hindi film production business, which UTV was known and respected for. But in the current scenario, it is unviable and loss making. I hope we will revive this business in the future.”
The source added, "Kapur and The Walt Disney Company have agreed not to renew the contract and the search for the new head for its India business is currently underway." The source also revealed that an official announcement in this regard would be out by early September.
Disney will focus only on distribution of Hollywood films and TV licensing and merchandising, but opt the Hindi film production and distribution, the popular business daily stated.
Lately, the company has not been doing very good with a series of misses like ‘Tamasha’, ‘Fitoor’, ‘Saala Khadoos’ and the recently released ‘Mohenjo Daro’. Tiger Shroff and Shraddha Kapoor starrer ‘Baaghi’ has been their only profitable film this year.
Aamir Khan starrer ‘Dangal’ which will hit screens in December, and Ranbir Kapoor and Katrina Kaif’s ‘Jagga Jasoos’ which is scheduled to release in April next year, are the only upcoming projects under the banner.