UTV Software Communications Ltd, a leading media firm of the country, has announced that it would acquire the remaining shares in UMP Plc for about $195 million, in a bid to integrate its business. The company will offer 1 UTV share for every 3.75 UMP shares to its stockholders.

UTV, having market capitalization of US$194.74 million, said: "In view of the ongoing working capital funding requirements of the movie production business, UTV considers that it would be preferable to have full ownership of the business and to seek investment as a single integrated movie business." All issued shares of UMP were valued at about US$194.74 million, on the basis of its latest share price at the Bombay Stock Exchange.

UTV has a stake of about 77 percent in UMP, and it is all set to release movies including Delhi Belly and Shoebite in coming days. Shares of UMP surged 28 per cent to close at 1.25 pence on the London Stock Exchange; while stocks of UTV closed at Rs 366 with increase of 7 per cent on the Bombay Stock Exchange.