A UTV official has informed that Walt Disney Company (South East Asia) has become the majority shareholder of UTV Software Communications by raising its stake to more than 50 percent.

By acquiring UTV shares from the open market, Walt Disney increased its holding in the company to more than 50 percent, where earlier its shareholding was 37 percent.

“This made Walt Disney the first Hollywood studio to have majority shares in an Indian entertainment company,” said the official.

He added, “The shareholding of UTV and Walt Disney in UTV Software Communications has increased to 83.25 percent.”

Back in month of February, $190 million in UTV Software was invested by Walt Disney and the company also increased its stake from 14.85 percent to 37.29 percent.

“Though Walt Disney is now a majority partner of UTV Software Communications, its equation in the company will remain unchanged,” said an UTV source.

The source added, “As per an agreement reached with UTV founder, Ronnie Screwvala, Walt Disney will not claim more than three seats it already has on the UTV Software 12-member board. Also, it will not use its voting rights till 2012.”