Name	Reco Date	Reco price	Target	Prospero Rating	Report Date*
Reliance MediaWorks Ltd	05Dec2013	Rs. 50 to Rs. 51	Rs. 70	7 / 10	05Dec2014

We recommend to buy Reliance Media Works Ltd (532399) @ 50/51 for short term.

Reliance Media is ADA Group company and engaged in the business of Movie exhibition and production. Movie exhibition business is operated under the brand name of Big Cinema which has the 253 screens in India. It has also presence in USA and other countries.

Reasons for recommendation:

1) Movie Entertainment businesses are booming: More and more movies are crossing the gross collection figure of Rs.100 crores

2) Stock price of multiplex companies are trading at 52 weeks high: Companies like PVR, Cinemax and Inox are trading at 52 weeks high.

3) Increase the stake in the company: The promoter has increased their stake by 10.15% through right issue indicating strong confidence in the movie exhibition business. Currently their stake stands from 63.15% to 73.30%.

4) Planning QIP: The company has proposed QIP ofRs. 500 crores for which they have put the special resolution for the approval of shareholders in the forthcoming AGM on 24.12.2013

5) Delisting of another group company: The promoter has proposed the delisting of another group company named -Reliance Broadcast Ltd. The company has received the approval of shareholders and Stock exchanges where the shares are listed. We believe that the promoter may propose the delisting for the Reliance Media Works Ltd at appropriate time.

*Report Date may sometimes be different from Recommended Date.

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