Network18 Media & Investments Limited — Important, 14-11-2024: General Updates

The company has reported key developments related to the completion of a joint venture between Reliance and Disney, significantly impacting its strategic positioning. Notably, Network18 sold its entire 2,28,000 equity shares in IndiaCast Media Distribution Private Limited to Viacom18 for ₹30.83 crore. IndiaCast, which recorded a turnover of ₹242 crore, will no longer be a subsidiary of Network18.

Additionally, Viacom18 acquired a 65% stake in Football Sports Development Limited for ₹94.54 crore from Reliance Industries and RISE Worldwide. In a further move, Reliance has now purchased Paramount Global’s 13.01% stake in Viacom18 for ₹4,286 crore, increasing its overall ownership to 70.49%.

The composite scheme of arrangement facilitating these transactions is now effective, with Viacom18 receiving 74,61,50,236 equity shares from Star India Private Limited (SIPL). As a result, SIPL is now primarily controlled by Reliance, with stakes of 16.34% from Reliance, 46.82% from Viacom18, and 36.84% from Disney. Investors should watch closely for the potential growth opportunities arising from this strategic alliance.