The National Company Law Tribunal (NCLT) has scheduled the hearing and final disposal on the merger application of Walt Disney-owned Star India and Reliance Industries (RIL)-backed Viacom18 for August 1.
According to reports, the division bench comprising technical member Anu Jagmohan Singh and judicial member Kishore Vemulapalli, in an order sheet of the hearing held on July 11, directed both parties to issue a fresh notice for the final hearing.
It was specified that the notice must be served to the central and state governments, tax authorities, and regulatory bodies including the Competition Commission of India (CCI) and the Ministry of Information and Broadcasting (MIB).
The notices should explicitly state that if no response is received within 30 days, it will be assumed that the authorities have no objections to the proposed scheme, the reports stated.
During the hearing, the parties notified the NCLT that the arrangement scheme involving the three companies has received approval from both secured and unsecured creditors, as well as from equity and preference shareholders.
After the NCLT sanctions the scheme, the merger will require clearance from the CCI.
On May 7, the tribunal admitted the merger scheme involving Star India, Viacom18, and Digital18, marking the initial step toward finalising the transaction.
The joint venture deal will be valued at $8.5 billion on a post-money basis. Once the merger is finalised, the joint venture will be controlled by Reliance Industries, holding a 16.34% stake, while Viacom18 and Disney will own 46.82% and 36.84% of the stakes, respectively.
