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Context is everything.
Detailed stories on technology startups, business and economic current affairs.
Detailed stories on technology startups, business and economic current affairs.
New investments in the entertainment company will see publicly listed TV18 lose control over its most profitable subsidiary.
Editor's note: Last year, Viacom18, a subsidiary of Reliance Industries-controlled TV18, announced a partnership to infuse capital into the firm. It said two entities, namely its parent and Bodhi Tree Systems, would bring in Rs 15,145 crore to help Viacom18 invest in its high-growth businesses—digital, sports and regional entertainment. Of the proposed investment, Rs 13,500 crore was to come from Bodhi Tree Systems, an investment platform backed by media tycoon James Murdoch and former Disney India executive Uday Shankar; Reliance was to invest the remainder. Additionally, Reliance would transfer its JioCinema business to Viacom18. An important detail, however, was left out. The announcement did not make it clear how the planned capital infusion would affect the ownership structure of Viacom18, which incidentally makes up the biggest chunk of TV18’s consolidated revenue and profits. The deal came through last week, six months after the initial deadline. As per the terms, the shareholders of Viacom18 are TV18 (with a 50.994% equity stake), Paramount Global (48.994%) and Bodhi Tree (0.011%). Materially, not much has changed. Viacom18 will get its money and JioCinema stands transferred to …
New investments in the entertainment company will see publicly listed TV18 lose control over its most profitable subsidiary.
Editor's note: Last year, Viacom18, a subsidiary of Reliance Industries-controlled TV18, announced a partnership to infuse capital into the firm. It said two entities, namely its parent and Bodhi Tree Systems, would bring in Rs 15,145 crore to help Viacom18 invest in its high-growth businesses—digital, sports and regional entertainment. Of the proposed investment, Rs 13,500 crore was to come from Bodhi Tree Systems, an investment platform backed by media tycoon James Murdoch and former Disney India executive Uday Shankar; Reliance was to invest the remainder. Additionally, Reliance would transfer its JioCinema business to Viacom18. An important detail, however, was left out. The announcement did not make it clear how the planned capital infusion would affect the ownership structure of Viacom18, which incidentally makes up the biggest chunk of TV18’s consolidated revenue and profits. The deal came through last week, six months after the initial deadline. As per the terms, the shareholders of Viacom18 are TV18 (with a 50.994% equity stake), Paramount Global (48.994%) and Bodhi Tree (0.011%). Materially, not much has changed. Viacom18 will get its money and JioCinema stands transferred to …
Instead of going after scale like Jio, the Sunil Bharti Mittal-led telecom giant is chasing a smaller but higher-quality customer base to grow its home broadband segment. Will the bet pay off?
While the Rs 9,000 crore promoter investment in Q1 brings a measure of reassurance, investors will still have to wait for Jio and retail to work through their challenges.
Reliance Consumer Products is relying on aggressive pricing in the hope that its staples brand will become a household name. But such tactics can go only so far.
Instead of going after scale like Jio, the Sunil Bharti Mittal-led telecom giant is chasing a smaller but higher-quality customer base to grow its home broadband segment. Will the bet pay off?
While the Rs 9,000 crore promoter investment in Q1 brings a measure of reassurance, investors will still have to wait for Jio and retail to work through their challenges.
Reliance Consumer Products is relying on aggressive pricing in the hope that its staples brand will become a household name. But such tactics can go only so far.
