The Mumbai bench of the National Company Law Tribunal (NCLT) has scheduled the final hearing for the merger of Walt Disney-owned Star India with Reliance Industries-owned Viacom18 on August 1. The tribunal has instructed both parties to issue a fresh notice of the final hearing, to be served to various government authorities and regulatory bodies. This merger, once approved, will create a joint venture combining the businesses of Viacom18 and Star India, valued at $8.5 billion, and is expected to have a significant impact on the Indian media landscape.
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- The NCLT has set the final hearing for the Reliance-Disney merger deal on August 1.
- Both parties must issue a fresh notice for the hearing, dated July 11.
- The notice must be served to central/state governments, tax authorities, and regulatory bodies like CCI and the Ministry of Information and Broadcasting.
- If authorities do not respond within 30 days, it will be presumed they have no objections.
- The merger involves a joint venture combining Viacom18 and Star India.
- The JV is valued at $8.5 billion on a post-money basis.
- Reliance will control the JV with a 16.34% stake, while Viacom18 and Disney will own 46.82% and 36.84%, respectively.
- Reliance plans to invest INR 11,500 crore in the JV.
- The merged entity will have exclusive rights to distribute Disney’s content in India.
- The JV is projected to have a user base of 750 million in India.
