2024’s Indian Media Mergers: Transforming Entertainment Through Strategic Consolidation

The Indian media industry experienced a transformative year in 2024, marked by notable mergers, acquisitions, and strategic realignments that reshaped the entertainment landscape. The year’s highlights include the formation of JioStar, Amazon’s acquisition of MX Player, Saregama’s investment in Pocket Aces, and the collapse of the long-awaited Sony-Zee merger.

Sony-Zee Merger Collapse

After two years of negotiations, Sony Group called off its merger with Zee Entertainment Enterprises on January 22, citing disagreements over leadership, particularly Zee CEO Punit Goenka, who was under investigation by India’s capital markets regulator. The deal’s termination ended plans for a $10 billion media giant, costing Zee Rs 432 crore in FY23-24 and Rs 331 crore in impairment charges. Culver Max Entertainment (Sony’s Indian unit) sought $90 million in termination fees, while Zee faced legal battles with Star India over ICC rights.

ENIL Acquires Gaana

In December 2023, Entertainment Network India Limited (ENIL) acquired music streaming platform Gaana for a modest Rs 25 lakh, following failed acquisition talks with Airtel Wynk. Once valued at $580 million, Gaana struggled despite raising $200 million. ENIL’s CEO Yatish Mehershi revealed a Rs 15 crore investment to revitalize the platform, which boasts a legacy as one of India’s first music streaming services with over 200 million users at its peak.

Saregama Invests in Pocket Aces

In September, Saregama acquired a 51.8% stake in digital entertainment company Pocket Aces Pictures for Rs 174 crore, with an option to buy an additional 41% later. Pocket Aces, known for platforms like FilterCopy and Dice Media, will help Saregama target the 18-35 demographic and collaborate on promoting its music library through digital content and influencer management.

Amazon-MX Player Merger

Amazon expanded its presence in India’s streaming market by acquiring MX Player for over $100 million and merging it with miniTV in October. The resulting Amazon MX Player serves over 250 million users, offering regional and international content, including hits like Aashram and Campus Diaries. This move consolidates India’s competitive OTT market and enhances Amazon’s ad-supported video-on-demand (AVoD) strategy.

Dharma Productions’ Strategic Investment

In October, Serene Productions, led by Adar Poonawalla, invested Rs 1,000 crore in Dharma Productions and Dharmatic Entertainment, acquiring a 50% stake. Karan Johar retained creative leadership, with a focus on integrating cutting-edge technology into storytelling and expanding Dharma’s global footprint.

JioStar: India’s Largest Media Conglomerate

The biggest development of the year was the formation of JioStar, created by the merger of Viacom18 and Disney Staron November 14 for Rs 70,350 crore. With additional investments of Rs 11,500 crore, JioStar combines top assets like JioCinema, Disney+ Hotstar, and over 120 TV channels, boasting more than 50 million subscriptions and rights to major sports events, including IPL and ICC tournaments.

The merger received regulatory approval from the Competition Commission of India and marks a seismic shift in India’s media industry, creating an unrivaled entertainment powerhouse.