Reliance Industries Ltd enters into binding agreement to acquire 13.01% stake of Viacom 18 Media Pvt Ltd

A binding agreement has been entered into today at 1:38 a.m. between Reliance Industries Limited and two subsidiaries of Paramount Global for the Company to acquire 13.01% equity stake (on a fully diluted basis) of Viacom 18 Media Private Limited ("Viacom18") held by Paramount Global through its two subsidiaries for an aggregate consideration of Rs. 4,286 crore.

Viacom18 is a material subsidiary of TV18 Broadcast Limited. The Company currently holds Compulsorily Convertible Preference Shares of Viacom18 representing 57.48% equity stake (on a fully diluted basis). Post the completion of this transaction, the Company's equity stake in Viacom18 will increase to 70.49% (on a fully diluted basis).

The acquisition is not a related party transaction and none of the Company's promoter / promoter group / group companies have any interest in the acquisition. This transaction is subject to regulatory approvals and completion of the transaction related to "RELIANCE AND DISNEY ANNOUNCE STRATEGIC JOINT VENTURE TO BRING TOGETHER THE MOST COMPELLING AND ENGAGING ENTERTAINMENT BRANDS IN INDIA".

Paramount Global will continue to license its world class content to Viacom18 after completion of the transaction.

Shares of Reliance Industries Limited was last trading in BSE at Rs. 2864.70 as compared to the previous close of Rs. 2950.20. The total number of shares traded during the day was 97957 in over 8660 trades.

The stock hit an intraday high of Rs. 2965.95 and intraday low of 2855.85. The net turnover during the day was Rs. 285002236.00.

Source : Equity Bulls

Keywords

RelianceIndustries INE002A01018 BindingAgreement ParamountGlobal StakeAcquisition Viacom18Media