Mukesh Ambani will have to sell 7 channels after Reliance-Disney deal, Disney Hotstar will be…, the channels are…

This deal is now approved by the CCI, but with a condition that Mukesh Ambani led Reliance must sell off seven of its channels.

The deal between Mukesh Ambani’s Reliance Group and Disney to acquire the Star India operations is nearing its final stages. While the Competition Commission of India (CCI) has approved the deal, it has imposed a significant condition.

India’s richest industrialist, Mukesh Ambani, is on the verge of finalizing another major acquisition. For some time now, Reliance Group has been working to strengthen its position in the OTT and media sectors by acquiring Disney’s Star India operations. 

Mukesh Ambani To Sell 7 Channels

In its 48-page order, the CCI laid out specific terms for the merger of Reliance Industries and Walt Disney’s media assets. One of the key conditions is that Reliance must sell seven of its television channels, including popular ones like Hungama and Super Hungama, as part of the deal.

This condition ensures that the deal moves forward without creating undue market dominance, particularly in the sports and entertainment broadcasting sectors. It marks a significant step for Reliance as it looks to expand its media influence.

Among other remedial measures, the entities will divest seven channels, including Star Jalsha Movies, Star Jalsha’ Movies HD, Colors Marathi and Colors Marathi HD. These channels are operated by Viacom18, which is part of Reliance Industries.

What About IPL Telecast?

The combined entity will have lucrative sports properties like the Indian Premier League (TV and digital), ICC cricket tournaments (TV and digital), Wimbledon, Pro Kabaddi League and BCCI domestic cricket matches.

Besides, the merged entity, which will have a feed of all major cricket events like IPL, ICC and BCCI matches, along with the public broadcaster Prasar Bharti, will not bundle together the TV advertisement slot sales.

Earlier, the advertising industry had raised concerns over the merger of Reliance Media assets and Star India, part of Walt Disney, that higher charges could be levied for advertisements during the telecast of major cricket events.

Against this backdrop, both parties have decided that “they will not increase the advertisement rates to an unreasonable level, on their TV and streaming platforms for the ICC events and IPL events for which they hold the broadcasting rights”, as per the CCI order.

Disney+Hotstar, Colors, JioCinema

Meanwhile, both OTT platforms, Disney+Hotstar by Star and JioCinema by Viacom 18 would continue to operate separately.

Colors Super, operated by Viacom18, in the Kannada General Entertainment Channel as well as Hungama and Super Hungama, operated by Star India in the Kids’ Channel Segment, will also be sold.

According to the order, the divestment of the TV channels should include licenses for trademarks, channel names and logos for a reasonable period agreed with the approved purchasers.

(With Inputs from PTI)