MIB approves transfer of Viacom18 TV licenses to Star India

Reliance Industries reported in a stock exchange filing that the Ministry of Information and Broadcasting (MIB) has approved the transfer of TV channel licenses from Viacom18 to Star India. The order, dated 27 September 2024 states, “The Ministry of Information and Broadcasting, Government of India, vide its order dated September 27, 2024, has granted its approval for transfer of Licenses relating to Non News & Current Affairs TV channels held by Viacom18 Media Private Limited in the favour of Star India Private Limited subject to conditions laid by the Competition Commission of India.”

Viacom18, owned by Reliance is set to merge with Walt Disney’s Star India, forming a media powerhouse valued at $8.5 billion. The merger will combine Viacom18’s 40 TV channels with Star’s 77, resulting in a diverse portfolio of 117 channels across various genres including general entertainment, sports and children’s programming.

The Ministry of Information and Broadcasting’s approval is the final clearance needed to complete the merger, initially announced on 28 February 2024. The merger has already received the green light from the National Company Law Tribunal (NCLT) and the Competition Commission of India (CCI) with a full order from the CCI expected soon.

Reports indicate that Viacom18 will transfer its assets to a wholly-owned subsidiary, Digital18, which will subsequently transfer them to Star India in exchange for shares, effectively merging the two companies into a single entity.

Following the merger, Star India will serve as the primary company with Reliance Industries holding a 56 per cent stake in the new entity. Walt Disney will own 37 per cent while Uday Shankar and James Murdoch’s Bodhi Tree Systems, a minority stakeholder in Viacom18 will hold the remaining 7 per cent. BW Marketing World