New Delhi: In a significant development for the media and entertainment sector, the Competition Commission of India (CCI) has approved the ₹70,350-crore merger between Reliance Industries and Disney’s Indian media assets, subject to certain voluntary modifications. The decision was announced on August 28.
Earlier media reports indicated that the Competition Commission of India (CCI) had raised concerns about the potential market dominance of the merged entity and its implications for advertisers. The CCI’s approval is contingent upon the merged entity’s adherence to the voluntary modifications it has assured.
The merger will create a new joint venture in which Reliance Industries Limited (RIL) will invest ₹11,500 crore to support its growth strategy. This substantial investment underscores RIL’s commitment to expanding its media footprint in India.
According to a statement posted by the CCI on the X platform, “C-2024/05/1155 Commission approves the proposed combination involving Reliance Industries Limited, Viacom18 Media Private Limited, Digital18 Media Limited, Star India Private Limited, and Star Television Productions Limited, subject to the compliance of voluntary modifications.”
Under the terms of the merger, the joint venture will be controlled by RIL, with ownership distributed as follows: RIL will hold 16.34 per cent, Viacom18 Media will hold 46.82 per cent, and Disney will retain a 36.84 per cent stake. Nita Ambani will assume the role of Chairperson of the merged entity, while former Walt Disney executive Uday Shankar will join as Vice Chairperson.
The new board will comprise 10 members: five nominated by RIL, three by Disney, and two independent directors. The merger is anticipated to be finalised either in the last quarter of 2024 or the first quarter of 2025.
