Indian Media Empire Born: Reliance Industries and Disney Complete $8.5 Billion Merger
Mumbai, India - In a groundbreaking move, Reliance Industries and Disney have completed their highly-anticipated media merger, creating a behemoth in the Indian entertainment industry valued at a staggering $8.5 billion.
The all-out deal combines Disney's Star India with Reliance's Viacom18 and streaming platforms JioCinema and Hotstar, marking a seismic shift in the country's media landscape. According to sources close to the deal, Nita M. Ambani will chair the joint venture, while media veteran Uday Shankar will serve as vice chair.
Regulatory approvals from key jurisdictions, including India's Competition Commission, have paved the way for these mammoth conglomerates to create an Indian media powerhouse controlling over 100 TV channels and producing a staggering 30,000+ hours of content annually. The venture's annual revenue stands at approximately $3.1 billion.
The ownership breakdown reveals that Reliance Industries holds 16.34%, Viacom18 with 46.82%, and Disney maintains 36.84% after acquiring Paramount Global's 13.01% stake in Viacom18 for about $507 million.
Mukesh D. Ambani, chair and managing director of Reliance Industries Limited, hailed the formation of the joint venture as a "transformational era" in the Indian media industry, guaranteeing "unparalleled content choices at affordable prices for Indian viewers."
Disney's CEO Robert A. Iger described the merger as an "exciting moment" for both companies and their users, underscoring Disney's desire to expand its presence in India while delivering a more robust portfolio of entertainment, sports content, and digital services.
Uday Shankar elaborated that the new organization is committed to delivering "an unprecedented level of creativity, disruption and new-age consumer experience." The media veteran emphasized the merger's potential to reorient the Indian industry to better serve diverse cohorts of consumers across the country.
The joint venture's leadership boasts a caliber lineup of experienced professionals, including Kevin Vaz heading entertainment, Kiran Mani leading digital operations, and Sanjog Gupta overseeing sports. The consolidated entity now boasts an eye-watering combined digital subscription base surpassing 50 million across JioCinema and Hotstar platforms.
Cricket, India's biggest audience draw, will be at the forefront of this media behemoth with its extensive portfolio of sports rights across the world's most popular sport.
As this Indian media empire sets sail into uncharted waters, fans and stakeholders alike can expect a fresh era in entertainment tailored to unprecedented levels.