Disney and Reliance logos are seen on this file illustration.
| Photo Credit: Reuters
Reliance Industries Ltd. (RIL), Viacom 18 Media Private Ltd. (which is majority-owned by RIL’s entity TV18 Broadcast), and The Walt Disney Company (Disney) have signed binding definitive agreements to kind a three way partnership (JV) which is able to mix the companies of Viacom18 and Star India in India.
Towards this Viacom18 will be merged into Star India Private Ltd. by means of a court-approved scheme of association. Besides this RIL will make investments at closing ₹11,500 crore into the JV for its progress technique.
“The transaction values the JV at ₹70,352 crore on a post-money basis, excluding synergies. After completion of the above steps, the JV will be controlled by RIL and owned 16.34% by RIL, 46.82% by Viacom18 and 36.84% by Disney,” the entities stated in a joint assertion.
Subject to regulatory and third-party approvals, Disney may contribute sure further media belongings to the JV.
Nita Mukesh Ambani will be the chairperson of the JV and Uday Shankar, the previous President of Walt Disney Asia Pacific, will be Vice Chairperson offering strategic steering to the JV.
The transaction is predicted to be accomplished within the final quarter of calendar 12 months 2024 or first quarter of calendar 12 months 2025.
The JV will be one of many main TV and digital streaming platforms for leisure and sports activities content material in India, bringing collectively media belongings throughout leisure (Colors, StarPlus, StarGOLD) and sports activities (Star Sports and Sports18) together with entry to extremely anticipated occasions throughout tv and digital platforms by means of JioCinema and Hotstar, the businesses stated.
The JV could have over 750 million viewers throughout India and also will cater to the Indian diaspora internationally, they stated.
Mukesh D Ambani, CMD RIL stated, “This is a landmark agreement that heralds a new era in the Indian entertainment industry.”
Bob Iger, CEO of The Walt Disney Company, stated, “India is the world’s most populous market, and we are excited for the opportunities that this joint venture will provide to create long-term value for the company.”
Uday Shankar, Co-founder, Bodhi Tree Systems, stated, “We are privileged to be enhancing our relationship with Reliance to now also include Disney, a global leader in media & entertainment.”
