Binding Agreement Finalized
According to Money control’s report on March 14, Reliance Industries, India’s largest private company, announced to stock exchanges that it has finalized a binding agreement to purchase Paramount Global’s complete 13.01% stake in Viacom 18 Media for Rs 4,286 crore ($517 million).
The stake in Viacom18 was previously held by Paramount Global through its two subsidiaries.
Content Licensing and Viacom18’s Shareholding Structure
Paramount Global, in a US regulatory filing, stated its intention to continue licensing its content to Viacom18 even following the completion of the deal. Paramount Global already streams its content through Reliance’s JioCinema platform.
Viacom18, a subsidiary of TV18 Broadcast, currently holds preferential shares amounting to 57.48% in the company. Following the transaction, TV18 Broadcast’s stake in Viacom18 will increase to 70.49%. Viacom18 operates 40 television channels, including Comedy Central, Nickelodeon, and MTV.
Network18’s Relationship with Reliance
However, this transaction is contingent upon the completion of Reliance’s previously announced merger with Walt Disney for their India TV and streaming media assets. It’s important to note that Moneycontrol is a part of the Network18 group, controlled by Independent Media Trust, with Reliance Industries as the sole beneficiary.
