Reliance Industries Ltd will merge its television and streaming business with Walt Disney Co.’s India unit to create the country’s largest media company valued at Rs 70,352 crore.
The two companies have signed a binding, definitive agreement to form a joint venture that will combine the digital streaming and television assets of Viacom18 and Star India, RIL said in a statement on Wednesday.
As part of the transaction, the media undertaking of Viacom18 will be merged into Disney-owned Star India Pvt. through a court-approved scheme of arrangement. Reliance will invest Rs 11,500 crore in the venture to fund growth. The Mukesh Ambani-promoted company will control the joint venture via a 16.34% direct stake and 46.82% held through Viacom 18. Disney will own 36.84%.