This story was first published on the Benzinga India portal.

The value of Reliance Industries shares experienced an uptick on Thursday after the announcement of the company’s decision to acquire Paramount Global‘s (NASDAQ: PARA) stake in Viacom18 Media for ₹4,286 crore (approximately $570 million), as per the filing with the exchange by Reliance.

Mukesh Ambani’s Reliance Industries’ stake in Viacom18 will increase to 70.49% from the current 57.48% ownership via Compulsorily Convertible Preference Shares, following this acquisition. Despite the sale, Paramount Global will continue to supply content to Viacom18. This move, pending regulatory approval, is part of a wider strategy that excludes related parties.

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This acquisition announcement follows the recent declaration of a merger between Reliance Industries and Disney in February. The merger, which aims to establish a ₹70,000 crore (roughly $9.3 billion) titan in the Indian entertainment sector, is expected to be completed between the last quarter of 2024 and the first quarter of 2025. Post-merger, Reliance is set to own 16.34% and Viacom18 will hold a 46.82% stake in the newly formed entertainment behemoth.

As per an earlier report, Paramount is in the process of shedding assets, including its Simon & Schuster publishing wing, as part of an overarching strategy to lower its debt burden.

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Photo via WEF on Flickr

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This article India’s Richest Man Buys Paramount’s Entire Stake In His Broadcasting Unit Viacom18 For $570M originally appeared on Benzinga.com

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