Paramount Global has sold its 13% equity interest in Viacom18 Media to Indian conglomerate Reliance Industries for the equivalent $517 million.
The close of the transaction, revealed in an SEC filing, is subject to regulatory approval and the completion of a previously announced joint venture involving Reliance, Viacom18 and Star Disney.
After the closing, Paramount will continue to license its content to Viacom18.
The move provides the Bob Bakish led, Shari Redstone-owned company, struggling with high debt and streaming losses, with an infusion of fresh cash. It’s in line with Par’s strategy of divesting assets it considers non-core as it has with publisher Simon & Schuster, mixed martial arts promoter Bellator, real estate and other businesses.
Disney and Reliance late last month announced the creation of a joint venture worth about $8.5 billion to merge their respective digital streaming and television assets in India. Disney, which has had a rocky road with Star (inherited from 20th Century Fox), will hold about 37% of the venture, which combine the businesses of Mumbai-based Reliance Industries, Viacom18 Media, which it owns and controls, and Star India. The business of Viacom18 is to be merged into Star India.
MORE
