Report: Disney To Buy Out Ignition Parent Company UTV

Disney is looking to buy out Ignition parent company UTV Software Communications, by purchasing the remaining shares in the company, according to media reports. The company currently holds around 50.4 percent of the equity share capital for India-based UTV, but a spokesperson for UTV told Reuters that Disney will be delisting the rest of the UTV shares from the stock market. According to the source, Disney is also looking to buy from the other major shareholders after the delisting. Current UTV chief executive Ronnie Screwvala is set to become the managing director for Walt Disney India after UTV delists. A local analyst said to Reuters, "Walt Disney has always been interested in most of UTV's business, especially the gaming part." He went on to say that the deal will help Disney diversify and expand its presence in India. The last couple of months has seen plenty of changes within Ignition. The company's Austin branch was closed last month, on the same day that it opened a new California office. Just last week, Ignition's Faxion Online studio was laid off, as the parent company showed that it was looking to stray away from internal development.