Zee to Acquire Reliance Group Entertainment Channels

MUMBAI: Zee Entertainment Enterprises Limited (ZEEL) has agreed to purchase general-entertainment channels and a stake in a radio broadcasting business from Anil Ambani’s Reliance Group.

The TV broadcasting business of Reliance Group currently includes the two operational general-entertainment channels BIG Magic and BIG Ganga, as well as four other TV licenses. BIG Magic is a comedy channel catering to Hindi-speaking markets, while BIG Ganga is a Bhojpuri entertainment channel targeted to audiences in Bihar, Jharkhand and Purvanchal.

Zee is also acquiring a 49-percent stake in 92.7 BIG FM, the radio broadcasting business of Reliance Broadcast Network Limited.

Punit Goenka, the managing director and CEO of ZEEL, said, “We are pleased to announce this acquisition which further adds to our expanding universe of general-entertainment channels. BIG Magic gives us access to comedy genre, enhancing our customer offerings. BIG Ganga, a leading Bhojpuri channel, syncs with our strategy of expanding into the regional markets which offers attractive growth potential. I am confident that these two channels will make the ZEE Network channels more enriching for the audience and for the company.”

Sam Ghosh, the executive director and group CEO of Reliance Capital, commented, “We are happy to divest 100 percent of our general entertainment TV business to Zee Entertainment. This transaction is part of our strategy to reduce exposure in non-core businesses and work towards further reducing debt under Reliance Capital.”