Paramount Global has agreed to sell its 13 percent stake in Indian media company Viacom18 to Reliance Industries for approximately $517 million. After closing the deal, Paramount confirmed it will continue licensing its content to Viacom18. It already streams its content through Reliance's JioCinema.
Reliance Industries, a multinational conglomerate already the majority shareholder in Viacom18, will further solidify its position in the Indian media landscape with this acquisition. Viacom18 boasts properties such as the streaming service JioCinema and popular channels including Colors, Comedy Central, and MTV.
The sale comes amidst a strategic realignment in the Indian media sector, notably marked by Disney's recent collaboration with Reliance Industries to form a joint venture. Under this partnership, Reliance will inject $1.4 billion into the venture, valued at $8.5 billion, encompassing Viacom18 and Disney's Star India. The joint venture will hold exclusive distribution rights for Disney content in India and potentially integrate additional media assets, subject to regulatory approvals.
Completing Paramount's stake sale to Reliance is contingent upon regulatory approvals and the finalization of the previously announced joint venture involving Reliance, Viacom18, and Star Disney. This acquisition comes amid discussions of Paramount's future, including rumors of a potential buyout by Apollo and media mogul Byron Allen's $30 billion bid for Paramount Global.