The Competition Commission of India (CCI) has granted conditional approval for the merger between Reliance Industries and Walt Disney, with various stipulations. According to a 48-page order released on 22 October 2024, the merger is permitted under conditions, including the divestiture of seven television networks such as Hungama and Super Hungama, as part of the agreement.
As part of the regulatory licensing process, both parties have also voluntarily agreed not to bundle TV commercial slots for IPL, ICC, and BCCI cricket rights until the current rights expire.
“The parties will not bundle together the TV ad slot sales for all three cricketing rights available with the parties i.e. IPL, ICC and BCCI for the balance tenure of the existing rights. The parties will not bundle together OTT ad slot sales for all three cricketing rights available with the parties i.e. IPL, ICC and BCCI for the balance tenure of the existing rights,” the order stated.
The sale of seven television channels, including Hungama and Super Hungama, is also a requirement for the merger.
On 28 August, the CCI approved the merger of Mukesh Ambani-led Reliance Industries with Walt Disney’s media assets, creating the country’s largest media empire valued at over Rs 70,000 crore. The deal underwent scrutiny from the antitrust regulator, and the approval followed proposed changes to the original transaction structure.
Last month, the Ministry of Information and Broadcasting approved the transfer of TV channel licenses, specifically for non-news and current affairs channels. Under this transition, channels held by Viacom18 Media will be transferred to Star India.
In February, Reliance Industries and Walt Disney Co signed a binding agreement to merge their media operations in India, reshaping the country’s media landscape and forming a combined entity with a substantial share of cricket and entertainment broadcasting rights.
The merged entity will include two streaming services and 120 television channels. Reliance owns Viacom18 Media and Digital18, while Disney controls Star India and Star Television.
Under the terms of the merger, Reliance Industries will hold 60 per cent of the shares—16 per cent directly and 47 per cent through its majority-owned Viacom18 Media—while Disney will retain the remaining 37 per cent.
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Name of Author: Cricexec Staff
