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[1/2]A screen displays the Walt Disney Company logo and a ticker symbol on the floor of the New York Stock Exchange (NYSE) in New York, U.S., December 14, 2017. REUTERS/Brendan McDermid/File Photo Purchase license rights
BENGALURU, Dec 12 (Reuters) – Reliance Industries (RELI.NS), India’s most valuable company, and Walt Disney Co (DIS.N) are expected to sign an agreement to merge their Indian media operations in an all-cash deal as soon as Monday. and stock deal, Bloomberg News reported Tuesday.
JioCinema, run by Viacom18, Reliance’s Mukesh Ambani-controlled broadcast company, has increased pressure on Disney India and other streaming platforms. Ambani is marketing the platform by offering free access to the Indian Premier League cricket tournament, whose digital rights were previously owned by Disney.
Reliance will provide funds to acquire at least 51% of the combined company if the deal goes through, and Disney will retain the rest, Bloomberg said, citing people familiar with the matter.
The report did not mention any deal value.
Earlier in the day, the Economic Times newspaper reported that the companies were finalizing details of a non-binding term sheet to merge their media operations in India.
Disney and Reliance did not immediately respond to Reuters’ request for comment.
In October, Reliance reportedly valued Disney’s assets in India, which include streaming service Disney+ Hotstar and Star India, at between $7 billion and $8 billion.
At the time, Disney valued the operation at $10 billion.
Reporting by Varun Vyas and Kashish Tandon in Bengaluru; Edited by Nivedita Bhattacharjee and Sonia Cheema
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