Mumbai: Reliance Industries Limited and Walt Disney announced a monumental merger, forming India’s largest media entity with an estimated value of USD 8.5 billion. In this strategic move, Reliance will hold a 16.34% stake, while Disney will own 36.84%, and Reliance-backed Viacom18 will command 46.82% of the merged entity.
Nita Ambani, wife of Reliance Chairman Mukesh Ambani, is set to lead the newly formed media conglomerate, with Uday Shankar serving as vice-chairperson, as confirmed in a joint statement. Reliance plans to invest USD 1.4 billion in the venture, leveraging its majority ownership of Viacom18.
The merger will unite two major streaming platforms, JioCinema and Disney+ Hotstar, offering an extensive range of content to over 750 million viewers across India. Additionally, the entity will include various TV networks, film productions, and other assets controlled by Disney, serving as a digital home for renowned brands like HBO, Showtime, and NBCUniversal.
Mukesh Ambani expressed enthusiasm about the collaboration, stating, “We welcome Disney as a key partner of the Reliance group, pooling our extensive resources, creative prowess, and market insights to deliver unparalleled content at affordable prices.”
This announcement follows Sony’s recent decision to abandon plans for a merger with Zee Entertainment, highlighting the dynamic landscape of the Indian media market. The merger of Hotstar and JioCinema signifies a strategic push to enhance content delivery, with Viacom18 securing exclusive IPL streaming rights, further intensifying competition in the digital entertainment space.
