Reliance Industries has signed a binding agreement with Disney to form a joint venture that will combine the businesses of Viacom 18 and Star India. The deal, which has been in the works for months, will create a media behemoth across TV broadcasting, streaming, movies and sports.

As part of the transaction, RIL has agreed to invest around Rs 11,500 crore ($ 1.4 billion) into the JV for its growth strategy.

The deal values the joint venture at Rs 70,352 crore ($ 8.5 billion) on a post-money basis, excluding synergies. Post completion of the merger, the JV will be controlled by RIL with 16.34% stake.

Meanwhile, Viacom18 to have 46.82% stake and Disney will own about 36.84%.

Nita Ambani will be the Chairperson of the Joint Venture, with Uday Shankar as Vice Chairperson providing strategic guidance to the JV.

The proposed combined Star-Viacom18 entity will be a dominant force in the TV broadcasting industry, with more than 100 TV channels like Star Plus, Colors and Star Sports. The entity will also have two streaming platforms, Disney+ Hotstar and JioCinema, with dominant market shares in subscription and advertising video-on-demand segments.”This is a landmark agreement that heralds a new era in the Indian entertainment industry. We have always respected Disney as the best media group globally and are very excited at forming this strategic joint venture that will help us pool our extensive resources, creative prowess, and market insights to deliver unparalleled content at affordable prices to audiences across the nation,” said Mukesh Ambani, Chairman and Managing Director, RIL.