A few days earlier, it was reported that Balaji Telefilms is selling its stake in its subsidiary, ALT Balaji. Now there is a confirmed news that Mukesh Ambani owned, Reliance Industries(RIL) is going to buy 24.9% stake in Ekta Kapoor’s Balaji Telefilms at an attractive price of ₹413.28 crore. The RIL board has finalized the deal that would include acquiring 2.52 crore equity shares of Balaji Telefilms at ₹164 per unit.
According to the Dharmesh Mehta, managing director of Axis Capital, which acted as the sole investment banker for the transaction, the deal was a win-win for both players since it gave RIL access to content and Balaji to subscribers.
He added, “The video-on-demand business requires money and this investment, which will happen at the company-level through a preferential allotment, will allow Balaji to quickly plough the funds received into this business”.
Before the Balaji deal, Jio has also partnered with Star India to offer free premium membership to the latter’s service Hotstar via JioTV.