Reliance-Disney signs binding pact, RIL will have 61% stake in merged media unit
It depends on how Disney's other local assets are incorporated by the time the deal closes. The deal is likely to be announced early this week.
According to a media report by Bloomberg, Reliance Industries Limited (RIL) and Walt Disney Co have signed a binding pact to merge their media operations in India.
As per the deal, Reliance and its partners are expected to hold at least 61% stake in the media unit of the merged entity, while the remaining stake will be held by Disney.
According to the report, the distribution of stakes among the partners may change. It depends on how Disney's other local assets are incorporated by the time the deal closes. The deal is likely to be announced early this week.
Disney agreed to sell 60% of its India business to Viacom18 at a valuation of $3.9 billion (Rs 33,000 crore). Viacom 18 is owned by Reliance Chairman Mukesh Ambani.
In October last year, Reliance was valuing Disney's India assets. Which includes Disney + Hotstar streaming service and Star India, whose valuation ranges from $ 7 billion to $ 8 billion. Whereas Disney had estimated the value of these operations at 10 billion dollars.