Viacom18 is now a subsidiary of Reliance Industries
What's the story
Reliance Industries Limited (RIL) has officially acquired a majority stake in Viacom18 Media Private Limited, making it a subsidiary of the conglomerate. The strategic move was finalized after 24,61,33,682 compulsorily convertible preference shares (CCPS), were converted into an equal number of equity shares. The acquisition strengthens RIL's position in the media and entertainment industry.
Stake details
RIL's increased stake in Viacom18
Before this transaction, RIL owned a 70.49% share in Viacom18 on a fully diluted basis. This included 5,57,27,821 equity stocks and 24,61,33,682 CCPS. The latest development has boosted RIL's ownership to 83.88% of Viacom18's total equity share capital, while keeping its 70.49% stake on a fully diluted basis intact.
Ownership shift
Viacom18's transition from Network18 to RIL
Previously, Viacom18 was a subsidiary of Network18 Media & Investments Limited. However, with shareholder approval under Regulation 24(5) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, it was no longer a subsidiary of Network18. This marks a major restructuring milestone as Viacom18 comes under the direct ownership of RIL.