Viacom18 announces completion of transaction for strategic partnership with Reliance, Bodhi Tree Systems and Paramount Global
Apr 14, 2023
Mumbai (Maharashtra) [India], April 14 : Viacom18 announced that following the sanction by NCLT Mumbai, the Scheme of the merger of Reliance Storage Limited with itself has become effective and Viacom18 has allotted shares to Bodhi Tree Systems and RIL group entities as consideration for the Scheme of the merger.
Upon consummation of this merger, (i) the integration of JioCinema into Viacom18 has been completed; and (ii) Viacom18 has access to Rs. 15,145 crores of cash for its planned growth, comprising Rs. 10,839 crores contributed by RIL group entities and Rs. 4,306 crores contributed by Bodhi Tree Systems. Qatar Investment Authority (QIA), the sovereign wealth fund of the State of Qatar, is an investor in Bodhi Tree Systems.
As a consequence of the closing of the transactions noted above, the shareholding of Viacom18 will be: (a) Equity: TV18 - 50.994 per cent; Paramount Global - 48.994 per cent; Bodhi Tree - 0.011 per cent, (b) CCPS: RIL group entities - 82.2 per cent; Bodhi Tree - 17.8 per cent, (c) Fully diluted basis: RIL group entities - 60.37 per cent; TV18 - 13.54 per cent; Bodhi Tree -13.08 per cent; Paramount Global - 13.01 per cent.
The partnership will enable Viacom 18 to innovate and disrupt the M&E sector, with Uday Shankar and James Murdoch providing strategic and operational guidance to Viacom 18, leveraging their track record of building iconic media businesses. Uday Shankar has been appointed to the Board of Viacom18. Paramount Global will continue as a shareholder and supply Viacom18 with its premium global content. This unique partnership brings together India's biggest conglomerate, two of the most recognized media industry veterans and a leading global media and entertainment company.
Viacom 18's digital-focused strategy is already paying rich dividends with IPL's first-weekend viewership on JioCinema crossing the digital viewership recorded in the entire season last year. The platform set several new records with 2.5 crore+ app downloads in a single day, 147 crore video views on the opening weekend and a peak concurrency of 1.6 crores for the first match. This strong viewership was driven by JioCinema's extensive fan-centric unique features like 4K feed, 12-language coverage, 16 unique feeds, hype mode, and multi-cam setup, among others.
