NSE/BSE Codes: NSE Symbol: UFO, BSE Scrip Code: 539141
Summary of Key Information:
Nature of Event / Disclosure:
Disclosure under Regulation 30 of SEBI LODR Regulations regarding settlement of pending litigation and arbitration proceedings.
Involved Parties / Authorities:
- UFO Moviez India Limited ("Company")
- TSR Films Private Limited ("TSR")
- Arbitral Tribunal (overseeing ongoing arbitration proceedings)
Date / Timeline of Event:
- Previous intimations: 12th March 2025 & September 18, 2026
- Settlement Deed executed: October 06, 2026
- Fresh Advertisement Rights Buyout Agreement dated: October 06, 2026
- Disclosure filed with exchanges: October 07, 2026
Brief Description of Outcome / Dispute:
The company and TSR Films have settled all their disputes under the Advertisement Agreement dated 23rd December 2023 relating to in-cinema advertising rights on TSR screens. The parties entered into a settlement deed and a fresh Advertisement Rights Buyout Agreement on mutually agreed terms.
Impact of Outcome:
Financial Impact:
No material disclosures regarding specific financial amounts, penalties, or compensation. The settlement resolves all financial disputes under the original agreement.
Operational / Business / Strategic Impact:
The execution of settlement deed along with the Advertisement Rights Buyout Agreement will have positive impact on the advertisement revenue potential of the Company. The resolution eliminates litigation uncertainty and establishes a new contractual framework for future advertising operations.
Other Implications:
The settlement resolves ongoing arbitration proceedings between the parties, eliminating legal costs and management time dedicated to the dispute.
Next Steps / Required Actions:
The Settlement Deed shall be presented before the learned Arbitral Tribunal in the ongoing arbitration proceedings. The terms contained in the settlement shall be taken on record in the final Award to be passed by the learned Arbitral Tribunal, formally resolving all disputes.