Reliance Industries Limited, Viacom 18 Media Private Limited (Viacom18) and The Walt Disney Company signed binding definitive agreements for a joint venture combining the Viacom18 and Star India businesses.
Through a court-approved scheme of arrangement, Viacom18’s media undertaking will be merged into Star India Private Limited as part of the transaction.
The joint venture will be chaired by Nita Ambani, with Uday Shankar serving as vice chair providing strategic guidance.
Reliance Industries has also agreed to invest Rs 11,500 crore (USD 1.4 billion) into the joint venture.
Post-money, excluding synergies, the joint venture was valued at Rs 70,352 crore (USD 8.5 billion).
Upon completion of all the processes, Reliance Industries will control the joint venture and own 16.34 per cent, Viacom18 46.82 per cent, and Disney 36.84 per cent.
Regulatory and third-party approvals may also be required for Disney to contribute additional media assets to the joint venture.
As a result of the JV, one of India’s leading entertainment and sports streaming platforms will be launched, bringing together iconic media assets such as Colors, StarPlus, StarGOLD, and sports (Star Sports and Sports18), along with JioCinema and Hotstar, which provide access to highly anticipated events across television and digital platforms.
Across India, the JV will reach over 750 million viewers and will also cater to the diaspora.
Through the JV, the media and entertainment sector in India will undergo a digital transformation, offering consumers high-quality, comprehensive content anytime, anywhere.
As a result of the JV’s media expertise, cutting-edge technology, and diverse content libraries, Viacom18 and Star India will be able to deliver an innovative and convenient digital entertainment experience at affordable prices by offering more appealing domestic and global entertainment content and sports livestreaming services.
The JV will offer Indians and the Indian diaspora a compelling, accessible and novel digital-focused entertainment experience combining Disney’s acclaimed films and shows with Viacom18’s renowned productions and sports offerings.
Besides distributing Disney films and productions in India, the JV will also have access to more than 30,000 Disney content assets, providing Indians with a full range of entertainment options.
Mukesh D Ambani, the Chairman and Managing Director of Reliance Industries, expressed his enthusiasm for a significant venture in the Indian entertainment sector in a recent statement. This collaboration marks a new chapter and showcases our admiration for Disney as a leading global media company. To provide top-notch content at affordable rates to audiences across the nation, we’re thrilled to join forces with them and utilize our combined assets, creativity, and knowledge. The Reliance group warmly embraces Disney as an integral part of our team.
In the Indian market, we will be able to create long-term value for the company through this joint venture.” Reliance understands the Indian market and consumer very well, which is why we will work together to establish one of the country’s leading media companies, which will offer consumers a wide range of digital services, entertainment, and sports content.”
We are delighted to be associated with Bodhi Tree Systems,” said Uday Shankar, co-founder. We are committed to providing exceptional value to our audiences, advertisers, and partners through our partnership with Reliance and Disney. As a result of this joint venture, the Hon’ble Prime Minister’s vision of making Digital India a global exemplar will be accelerated.”
Regulatory, shareholder, and other customary approvals are required and the transaction is expected to close by the end of calendar year 2024 or the beginning of calendar year 2025 as per ANI.
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