Reliance, Disney not to bundle ad sales for IPL, ICC and BCCI games

The Competition Commission of India (CCI) has granted conditional permission to merge Reliance Industries and Walt Disney entailing, various conditions. The 48-page order released on October 22, 2024, approves the merger along with some conditions such as the disposal of seven television networks, including Hungama and Super Hungama, as part of the deal, reports PTI. 

As part of the regulatory licensing process, the parties have voluntarily committed not to bundle TV commercial slots for IPL, ICC, and BCCI cricketing rights till the end of existing rights. "The parties will not bundle together the TV ad slot sales for all three cricketing rights availaible with the parties i.e IPL, ICC and BCCI for the balance tenure of the existing rights.The parties will not bundle together OTT ad slot sales for all three cricketing rights available with the parties i.e. IPL, ICC and BCCI for the balance tenure of the existing rights," the 48-page order said.

The parties will also have to sell seven television stations, including Hungama and Super Hungama.

On August 28, the CCI said it had approved the merger of Mukesh Ambani-led Reliance Industries and Walt Disney’s media assets to create the country's largest media empire, worth over Rs.70,000 crore. However, the deal had faced scrutiny by the antitrust regulator, this approval comes after the parties proposed certain modifications to the original transaction structure.

Last month, the Ministry of Information and Broadcasting also approved the conglomerate’s transfer of TV channels. The approval was given for the transfer of licenses relating to non-news and current affairs television channels. As part of the move, the channels held by Viacom 18 Media Pvt Ltd will be transferred to Star India.

Mukesh Ambani led Reliance Industries and Walt Disney Co. in February this year signed a binding agreement to merge their media operations in India. The move is set to change the media landscape of the country making the combined entity a powerhouse with a lion’s share of cricketing and entertainment broadcasting rights.

The combined entity will hold two streaming services and 120 television channels. Reliance owns Viacom18 Media and Digital18, and Disney controls Star India and Star Television.

60% of the shares will be held by Reliance Industries- 16 % directly and 47 % through the Viacom18 Media business it largely owns. Meanwhile, 37% go to Disney.