Reliance Industries approaches CCI for Viacom18-Star merger approval
The merger between the two will not cause any 'appreciable adverse effect on competition in India,' RIL told CCI
Reliance Industries has reportedly sought approval from the Competition Commission of India (CCI) for the merger of Viacom18 with Star India.
The commission reportedly stated that the transaction would combine the entertainment businesses of RIL’s Viacom18 and Star India Private Limited.
"As a result of the transaction, SIPL, currently a wholly-owned entity of TWDC through its subsidiaries, will become a joint venture (JV) which will be jointly held by RIL, Viacom18 and existing TWDC subsidiaries," said news reports citing RIL’s notice to CCI.
The merger between the two will not cause any “appreciable adverse effect on competition in India,” said RIL.
They have, however, identified various contentious areas related to licensing of audio visual content rights, distribution of broadcast TV channels, provision of audio-visual content and supply of ad space in India to aid CCI’s assessment.
Star India deals in TV broadcasting, motion pictures and OTT streaming. It is wholly owned by The Walt Disney Company. Viacom18 engages in TV broadcasting, OTT streaming and production/distribution of motion pictures.
