After nearly four decades in the industry, Pooja Entertainment, headed by Vashu Bhagnani, is facing a significant financial setback. Known for producing blockbuster entertainers like Coolie No.1, Biwi No.1, and Hero No.1, the production banner is now downsizing its operations following a string of box office failures. According to trade sources, Vashu Bhagnani has sold the seven-floor office of Pooja Entertainment to a builder. The identity of the buyer and the sale amount remain undisclosed, but it is reported that the building will be demolished to make way for a luxurious residential project. In addition to selling the office, Vashu Bhagnani has also laid off approximately 80% of the company’s employees and relocated the office to a two-bedroom flat in Juhu, as per insider information.
The layoffs began in January 2024 after a film starring Tiger Shroff, directed by Jagan Shakti, was shelved after a two-year struggle to commence production. The downsizing continued in April, following the release of Bade Miyan Chote Miyan. This decision comes in the wake of the film’s disastrous performance at the box office, earning a mere Rs. 59.17 crores against a whopping investment of Rs. 350 crores. Consequently, the production banner incurred losses of at least Rs. 125-150 crores. It is believed that the proceeds from the sale of the building will be used to repay debts to multiple financiers, amounting to approximately Rs. 250 crores.The financial troubles began with the release of Bell Bottom, one of the first Hindi movies to hit theaters after the COVID-19 pandemic in 2021.
The film performed poorly at the box office, followed by the failure of Mission Raniganj. Pooja Entertainment faced another setback when the high-budget film Ganapath failed to make an impact and was even rejected by Netflix despite an acquisition deal. These events, combined with the substantial investment in Bade Miyan Chote Miyan, exacerbated the company’s financial struggles. Despite hoping that the action-packed entertainer featuring Akshay Kumar and Tiger Shroff would turn things around, the film’s historic failure nearly crippled the production banner. Vashu Bhagnani had no choice but to sell the building to alleviate the enormous debt burden.
