In a stock exchange filing, Reliance Industries Ltd. announced that the Ministry of Information and Broadcasting has granted approval for the transfer of TV channel licenses from Viacom18 to Star India. The approval is contingent upon conditions laid out by the Competition Commission of India.
Furthermore, valued at $8.5 billion Viacom18, owned by Reliance, is set to merge with Walt Disney’s Star India, forming a media giant. The merger will see Viacom18’s 40 TV channels combine with Star’s 77, creating a vast portfolio of 117 channels spanning genres such as general entertainment, sports, kids, and youth programming.
Notably, The Ministry of Information and Broadcasting’s approval marks the final clearance required to complete the merger announced on February 28. The deal had previously secured approvals from the National Company Law Tribunal (NCLT) and the Competition Commission of India.
The Mumbai bench of the NCLT approved the merger scheme between Viacom18 and Star India on August 30. Under the plan, Viacom18 will transfer its assets to its wholly owned subsidiary, Digital18, which will then pass them on to Star India in exchange for shares.
Star India will become the primary operating company, after the asset transfer, with Reliance owning a 56% stake in the merged entity. Walt Disney will hold a 37% share, while Uday Shankar and James Murdoch’s Bodhi Tree Systems, currently a minority shareholder in Viacom18, will retain the remaining 7%.
In the newly formed post-merger entity, Nita Ambani will take on the role of chairperson, while Uday Shankar, a veteran media executive and former head of Star India, will step in as vice-chairperson.