MUMBAI, July 11 (UPI) -- Valuable Group has acquired MovieBeam, a U.S. wireless video-on-demand system, for an undisclosed sum in the first such takeover by an Indian firm.
MovieBeam, originally launched in 2005 by Disney, uses a set-top box system for movie rental. The company was taken over last year by Movie Gallery, a movie and game rental company.
Valuable Group, a privately-held media group in Mumbai led by Sanjay Gaikwad, said it will put in $100 million in the next two years to re-launch the system in North America, Britain and other overseas markets, the Hollywood Reporter said.
"This acquisition was a strategic fit in our global expansion strategy," Gaikwad said, adding his company will use MovieBeam "to deliver ethnic and Hollywood content to homes and the hospitality industry worldwide."
MovieBeam officials said the merger will help redefine on-demand entertainment market through new technology and bring additional revenues.
The Times of India reported Valuable, which has an office in Los Angeles, also runs UFO Moviez, a large satellite-based digital cinema network.