Friday, March 02, 2007

Sivaji over priced?

With Sivaji – the big daddy of Tamil films this year – heading for a mid-summer-2007 release, distribution rights of the movie are being discussed upon in full tilt. Vying for the rights of the movie among others, that is promisingly money-spinning, are topnotch media giants and corporates.
However, AVM seem to be contemplating profoundly on Sivaji's business in Tamil Nadu now it has already been sold in Andhra and Kerala.

Sivaji has managed to fetch an astronomical 14 crores in Telugu. Distribution rights in Andhra Pradesh have been bagged by producer Bellamkonda Suresh. Whereas in Kerala, the movie was sold for 3.5 crores, yet unheard for another movie in god's own country.

Since ticket rates of Andhra and Kerala underwent no changes, as opposed to Tamil Nadu, Sivaji is expected to generate fecund box office collections. Besides, with big names such as Rajini and Shankar associated with Sivaji, the distributors in those states face relatively low risk factor.
Business in home turf

Apparently, Sivaji's business in neighboring states has churned out huge expectations in Tamil Nadu as well. If we consider Sivaji's selling price in Andhra and Kerala, the movie is expected to fetch atleast 50 crores in Tamil Nadu, revealed a leading distributor from NSC area to Behindwoods correspondent. However, trade pundits are unsure of the profits the movie would spawn if it was sold at 50 crores.

Based on the collections of the recent blockbuster movies, it could be adjudged that the slash in ticket rates has had a huge impact on the profit. The collections dropped by just half after that, stated another trade source to our correspondent.
On the other hand, if the 50 crore package included overseas, audio, and satellite rights, Sivaji would prove to be a buyer's delight. Rumors hover around the Sivaji stable substantiate the same.
Case Study

Earlier, blockbuster Vettaiyadu Vilayadu has been released in 11 theatres in Chennai. Sivaji is expected to be released in atleast 15 theatres however. Since the initial collections in two weeks will decide the profit ratio of the movie, it is expected that Sivaji will be released in a maximum number of theatres to cash in on the success mantra and to reap benefits.

By all means, the hottest business deal in Kodambakkam ever is around the corner and is creating ripples among the trade circles every now and then.

Not for long though. Given the fact that the movie will hit the screens in April, the deal should be over in a couple of weeks .
Source : Behindwoods

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