Calcutta, Sept. 10: Hyderabad-based animation firm DQ Entertainment may hit the capital markets by the second quarter of next fiscal year.

“We had raised $56 million through a listing on the London Stock Exchange in December 2007. The funds are being utilised for expansion. We are looking to raise funds from the Indian market next year. Our listing plans, which depend on market conditions, would be one of the options we could explore,” said Tapaas Chakravarthi, chairman and CEO of DQ Entertainment.

Chakravarthi was speaking at a seminar on emerging animation hubs organised by the Federation of Indian Chambers of Commerce and Industry here today.

DQ is expanding its facilities in Chennai, Mumbai and Hyderabad.

In the last four to five months, the animation major has invested Rs 100 crore and earmarked another Rs 200 crore for the next one-to-one-and-a-half years.

DQ is also looking at buyouts and is in talks with companies in the US and Europe.

“We are in talks with a number of companies and are likely to finalise a deal next year,” said Chakravarthi.

The company has over 80 international clients, including Disney, Marvel, Nickelodeon and the BBC. It has an order book of $100 million with a projected increase in earnings of 100 per cent by March 2009.