Reliance and Disney have completed their landmark Indian media merger, creating an $8.5 billion entertainment powerhouse that will dominate the streaming and television markets in the world’s most populous nation.
The deal, proposed in February, brings together Disney’s Star India with Reliance-controlled Viacom18 under a joint venture that will control about 85% of India’s streaming market and roughly half of television viewership in South Asian nation, according to analysts.
Reliance, which has agreed to invest $1.4 billion in fresh capital to the venture, will control the joint venture, it said in a statement Thursday. The conglomerate, run by Asia’s richest man Mukesh Ambani, and its subsidiary Viacom18 will hold 63.16% of the venture, with Disney retaining 36.84%.
The deal, which secured regulatory approvals from competition authorities in India, the EU, China and other jurisdictions, marks a significant retreat by Disney from direct control of one of its most important international markets.
“By joining forces with Reliance, we are able to expand our presence in this important media market and deliver viewers an even more robust portfolio of entertainment, sports content, and digital services,” said Disney CEO Robert Iger in a statement.
The merger creates India’s largest media group with annual revenue of $3.1 billion, combining streaming platforms JioCinema and Hotstar with more than 100 television channels. The venture claims over 50 million streaming subscribers and will produce 30,000 hours of television content annually.
Reliance didn’t say how it plans to integrate Hotstar and JioCinema and when those integrations will be live.
“With the formation of this JV, the Indian media and entertainment industry is entering a transformational era,” said Ambani in a statement. “Our deep creative expertise and relationship with Disney, along with our unmatched understanding of the Indian consumer will ensure unparalleled content choices at affordable prices for Indian viewers. I am very excited about the JV’s future and wish it all the success.”
The joint venture also consolidates control over India’s most valuable media rights, including cricket properties such as the Indian Premier League, ICC tournaments and domestic cricket, alongside global sports content including the FIFA World Cup and Premier League. Viacom18 has also signed deals with Warner Bros. and NBCUniversal to license much of their catalogs for the Indian market.
Nita Ambani, wife of Mukesh Ambani, will chair the venture, with media veteran Uday Shankar serving as vice-chair. The operational leadership includes Kevin Vaz heading entertainment, Kiran Mani leading digital operations and Sanjog Gupta overseeing sports content.
The merger marks a return of Shankar to Star India, which he led as CEO before leaving in 2020 following disagreements with Disney. Shankar later partnered with James Murdoch to launch Bodhi Tree Systems, a Qatar Investment Authority-backed media investment firm that injected over $525 million into Viacom18. Bodhi Tree owns roughly 16% of Viacom18.