Mumbai: The European Union has approved the landmark merger between Reliance Industries Ltd (RIL) and The Walt Disney Company, paving the way for a transformative joint venture in India’s entertainment sector. This merger, which has already received necessary clearances from Indian regulatory bodies including the Competition Commission of India and the National Company Law Tribunal, signifies a significant shift in the landscape of media and entertainment in the country.
The European Commission, the executive arm of the EU, sanctioned the formation of Star India Private Limited (SIPL). This new entity will amalgamate assets from Viacom18, StarPlus, JioCinema, and various other entertainment businesses from both Reliance and Disney. The Commission concluded that the merger “would not raise competition concerns,” due to the limited presence of the companies within the European Economic Area.
Valued at Rs 70,000 crore, the merger allows Reliance to secure a controlling 63.16 percent stake and invest Rs 11,500 crore to enhance over-the-top (OTT) streaming services. Disney will retain a minority shareholding of 36.84 percent.
In terms of leadership, Nita Ambani, wife of RIL Chairman Mukesh Ambani, will take on the role of chairperson, while former Disney executive Uday Shankar is set to serve as vice chairperson.
The joint venture aims to consolidate some of India’s most popular entertainment and sports channels, including Colours, StarPlus, Star Sports, and Sports18, under one roof. Additionally, digital platforms JioCinema and Hotstar will also be part of this powerhouse, collectively reaching over 750 million viewers across India.
