CCI Approves Reliance-Disney Mega Merger with Key Regulatory Conditions

CCI Approves Reliance-Disney Mega Merger with Conditions

The Competition Commission of India (CCI) has granted conditional approval for the mega merger of Reliance Industries and Walt Disney, subject to several key conditions. The 48-page order, released on October 22, 2024, approves the merger but requires the companies to dispose of seven television networks, including Hungama and Super Hungama, as part of the deal, reports PTI.

Additionally, the companies have agreed not to bundle TV commercial slots for major cricketing rights like the IPL, ICC, and BCCI until the expiration of the current agreements. The order specifically states:
"The parties will not bundle TV ad slot sales for all three cricketing rights (IPL, ICC, and BCCI) for the remaining tenure of the existing rights."
This same condition applies to OTT ad slot sales.

On August 28, the CCI initially approved the merger of Mukesh Ambani-led Reliance Industries and Walt Disney's media assets, a move that creates India’s largest media conglomerate worth over ₹70,000 crore. However, the deal faced scrutiny by the antitrust regulator, leading to adjustments in the original agreement.

Last month, the Ministry of Information and Broadcasting also approved the transfer of TV channel licenses. Under this approval, channels held by Viacom 18 Media Pvt Ltd will be transferred to Star India.

The binding agreement between Reliance and Walt Disney Co. was signed in February 2024. The merger positions the combined entity to dominate the Indian media landscape, with a major share of cricketing and entertainment broadcasting rights.

The newly merged entity will operate two streaming platforms and control over 120 television channels. Reliance Industries will own 60% of the shares, while 37% will be held by Disney.