Renamed Eros Media World to Retain 15% Stake in STX, Projects Revenue Growth, Reduced Debt

Days after the Najafi group’s buyout of STX Entertainment, the Eros STX Global Corporation is changing its name to Eros Media World PLC. The newly renamed company has also revealed a new management structure and some financial projections.

Eros will retain a 15% non-voting stake in STX and the company said it has “fully repaid $152 million of outstanding JP Morgan credit facility and subordinated credit facilities at STX level.”

Rishika Lulla Singh is the new executive chair, Pradeep Dwivedi the new CEO and Rajesh Chalke is the new CFO of Eros Media World.

The current net debt of $130 million as of the end of the 2022 financial year is expected to decrease to $115 million by the end of the 2023 financial year, Eros stated. More than $120 million in revenues are expected for the 2023 financial year.

The company will now focus on its large content library and studio business. It expects investments of $30-40 million over the next three years to ensure that its studio division, Eros Motion Pictures, continues to provide refreshed content for streaming service, Eros Now, as well as the larger distribution ecosystem. For the studio, several Bollywood films including “Good Luck Jerry,” “Gorkhaa,” “Raksha Bandhan” and “An Action Hero” are in production.

Eros Now will look to improving overall penetration and distribution in tier 2 and 3 regions of India, while Eros Now Music is planning to release hundreds of originals across genres through the year.

“As the business and market matures, I am confident in Eros Media’s execution capability with fundamentals on track,” said former executive chair Kishore Lulla in a statement. “I will step down from the executive positions at Eros Media in the near future and dip into my entrepreneurial fibre to build the biggest web3 and blockchain Indian eco-system for the world via Eros Investments. The amalgamation of the virtual/meta world, with high fidelity gaming and digital goods/NFT bound via de-centralized technology in the web2, web3 and immersive experiences is principal premise of Eros Investment’s focus over the next 10 years.”