Following approval from the Competition Commission of India (CCI), the Mumbai bench of the National Company Law Tribunal (NCLT) has cleared the mega merger between Reliance-backed Viacom18 and Walt Disney-owned Star India.
This decision sets in motion the formation of India’s largest media conglomerate, valued at over Rs 70,000 crore.
A two-member bench of the NCLT has approved the composite Scheme of Arrangement involving Viacom 18, Digital18, and Star India.
The bench held that the Scheme seems fair and reasonable, adheres to legal provisions, and aligns with public policy, as per reports.
Last week, CCI approved the merger of Reliance Industries and Disney‘s Indian media assets, contingent upon adherence to voluntary modifications.
Also read: CCI Approves $8.5 Billion Merger Of Reliance & Disney Media Assets
In February 2024, Reliance Industries, Viacom18 Media, and The Walt Disney Company announced the signing of binding definitive agreements to create a joint venture that will merge the operations of Viacom18 and Star India.
Also read: Reliance-Disney Merger: A Turning Point For India’s M&E Sector?
The transaction mentioned above will result in the merger of Viacom18 into Star India under a court-approved scheme of arrangement. Under the deal, Reliance and its affiliates will control a 63.16% share in the newly formed entity, which will encompass two streaming services and 120 television channels. On the other hand, Walt Disney will retain the remaining 36.84% stake.
