Disney, Reliance to sign off on India merger next week - Bloomberg News
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Reliance Industries, India's most valuable company, and Walt Disney Co are expected to sign an agreement as early as Monday to merge their Indian media operations in a cash-and-stock deal, Bloomberg News reported on Tuesday.
JioCinema, run by billionaire Mukesh Ambani-controlled Reliance's broadcast venture Viacom18, has increased pressure on Disney India and other streaming platforms, with Ambani marketing the platform by offering free access to the Indian Premier League cricket tournament, the digital rights of which earlier belonged to Disney.
Reliance will infuse funds to take at least 51% of the merged entity if the deal goes through, and Disney will hold the rest, Bloomberg, citing people familiar with the matter, said.
The report did not mention a deal value.
Earlier in the day, the Economic Times newspaper reported that the companies are finalising the details of a non-binding term sheet to merge their media operations in India.
Disney and Reliance did not immediately respond to Reuters' requests for comment.
Reliance in October was reported to be valuing Disney's India assets, which comprises the Disney+ Hotstar streaming service and Star India, between $7 billion and $8 billion.
At the time, Disney valued the operations at $10 billion.
