Mumbai, February 28: Reliance Industries Limited, Viacom 18 Media Private Limited (Viacom18) and The Walt Disney Company announced the signing of binding definitive agreements for a joint venture that will combine the businesses of Viacom18 and Star India. According to a joint press release, as part of the transaction, the media undertaking of Viacom18 will be merged into Star India Private Limited through a court-approved scheme of arrangement.

Nita M Ambani will be the chairperson of the joint venture, with Uday Shankar as Vice chairperson providing strategic guidance to the joint venture. In addition, Reliance Industries has agreed to invest at closing Rs 11,500 crore (USD 1.4 billion) into the joint venture for its growth strategy. The transaction valued the joint venture at Rs 70,352 crore (USD 8.5 billion) on a post-money basis, excluding synergies. Reliance, Walt Disney Merge Media Operations in India, RIL to Invest Rs 11,500 crore

Post completion of all the processes, the joint venture will be controlled by Reliance Industries and owned 16.34 per cent by Reliance Industries, 46.82 per cent by Viacom18 and 36.84 per cent by Disney. Disney may also contribute certain additional media assets to the joint venture, subject to regulatory and third-party approvals, the release added. The JV will be one of the leading TV and digital streaming platforms for entertainment and sports content in India, bringing together iconic media assets across entertainment (e.g. Colors, StarPlus, StarGOLD) and sports (e.g. Star Sports and Sports18) including access to highly anticipated events across television and digital platforms through JioCinema and Hotstar.

The JV will have over 750 million viewers across India and will also cater to the diaspora across the world. The JV will seek to lead the digital transformation of the media and entertainment industry in India and offer consumers high-quality and comprehensive content offerings anytime and anywhere. The combination of the media expertise, cutting-edge technology and diverse content libraries of Viacom18 and Star India will allow the JV to offer more appealing domestic and global entertainment content and sports livestreaming services, while delivering an innovative and convenient digital entertainment experience at affordable prices.

With the addition of Disney's acclaimed films and shows to Viacom18's renowned productions and sports offerings, the JV will offer a compelling, accessible and novel digital-focused entertainment experience to people in India and the Indian diaspora globally. The JV will also be granted exclusive rights to distribute Disney films and productions in India, with a license to more than 30,000 Disney content assets, providing a full suite of entertainment options for the Indian consumer. Reliance-Disney Deal: Walt Disney and Reliance Industries Sign Non-Binding Agreement to Merge Indian Media Operations, Says Report

Mukesh D Ambani, Chairman & Managing Director of Reliance Industries, said, "This is a landmark agreement that heralds a new era in the Indian entertainment industry. We have always respected Disney as the best media group globally and are very excited at forming this strategic joint venture that will help us pool our extensive resources, creative prowess, and market insights to deliver unparalleled content at affordable prices to audiences across the nation. We welcome Disney as a key partner of Reliance group."

Bob Iger, CEO of The Walt Disney Company, said, "India is the world's most populousmarket, and we are excited for the opportunities that this joint venture will provide to create longterm value for the company. Reliance has a deep understanding of the Indian market and consumer, and together we will create one of the country's leading media companies, allowing us to better serve consumers with a broad portfolio of digital services and entertainment and sports content."

Uday Shankar, Co-founder of Bodhi Tree Systems, said, "We are privileged to beenhancing our relationship with Reliance to now also include Disney, a global leader in media and entertainment. All of us are committed to delivering exceptional value to our audiences, advertisers, and partners. This joint venture is poised to shape the future of entertainment in India and accelerate the Hon'ble Prime Minister's vision of making Digital India a global exemplar."

The transaction is subject to regulatory, shareholder and other customary approvals and is expected to be completed in the last quarter of Calendar Year 2024 or first quarter of calendar year 2025.

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