Reliance and Disney are combining television assets in India for $8.5 billion – Kommersant
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Today, February 28, the Indian conglomerate Reliance Industries and the American corporation Walt Disney announced on combining its television and streaming assets in India and creating a joint venture. This will create a company with a capitalization of about $8.5 billion, which will become one of the largest players in the Indian entertainment and media market.
Reliance will own 63% of the JV shares, Disney – 37%. As part of the deal, the Indian corporation promised to invest an additional $1.4 billion in the new company. The joint venture will manage approximately 120 television channels and 2 streaming services, among other things, it will have the exclusive right to distribute Disney content in India. The transaction is expected to be completed in late 2024 or early 2025.
According to media reports, Disney has for some time been looking for opportunities to solve the problems of its Indian business, which was faced with user outflow and financial difficulties. According to sources Reutersthe terms of the current deal value Disney’s Indian assets at about a quarter of what the company paid for them in 2019—$15 billion.
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