Reliance Industries (RIL) and Viacom18 have announced a strategic partnership with Bodhi Tree Systems to form one of the largest TV and digital streaming companies in India.
Bodhi Tree Systems is leading a fund raise with a consortium of investors to invest Rs 13,500 crore in Viacom18, to jointly build India's leading entertainment platform and pioneer the Indian media landscape's transformation to a streaming-first approach.
Viacom18 owns and operates the suite of Colors TV channels and OTT platform, VOOT. It is amongst the leading players in the core linear television business with 38 channels across nine languages and a pan India presence.
Reliance Projects & Property Management Services, a wholly-owned subsidiary of Reliance Industries which has significant presence in television, OTT, distribution, content creation, and production services, will invest Rs 1,645 crore. In addition, the popular JioCinema OTT app will be transferred to Viacom18.
Paramount Global (formerly known as ViacomCBS), a leading global media and entertainment company comprised of iconic content studios, TV networks and streaming services including CBS, Showtime Networks, Paramount Pictures, Nickelodeon, MTV, Comedy Central, BET, Paramount+ and Pluto TV, will continue as a shareholder of Viacom18 and will continue to supply Viacom18 its premium global content.
Bodhi Tree Systems, a newly formed platform between Lupa Systems Founder and CEO James Murdoch and Uday Shankar, the former president of The Walt Disney Company Asia Pacific and former Chairman of Star and Disney India, will leverage the partners' shared track record of building iconic businesses and shaping the media landscape in India and globally.
Qatar Investment Authority (QIA), the sovereign wealth fund of the State of Qatar, is an investor in Bodhi Tree Systems.
Mukesh D Ambani, chairman & managing director of Reliance Industries, said, James and Uday's track record is unmatched. For over two decades, they have played an undeniable role in shaping the media ecosystem in India, Asia, and around the world.
We are very excited to partner with Bodhi Tree and lead India's transition to a streaming-first media market. We are committed to bringing the best media and entertainment services for Indian customers through this partnership."
The transaction is expected to close within six months and is subject to closing conditions and requisite approvals.
RIL is India's largest private sector company. Its activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail and digital services.
On consolidated basis, RIL reported 41.6% rise in net profit to Rs 18,549 crore on 57% increase in net sales to Rs 1,85,027 crore inQ3 FY22 over Q3 FY21.
Shares of RIL advanced 0.89% to Rs 2802.50 on the BSE today.
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