Reliance Industries Limited to Acquire Stake in Eros International PLC
February 20 2018 - 9:56AM
Business Wire
Announces Joint Partnership with Eros India
to set-up a $150 million fund to co-produce and consolidate
content
Jyoti Deshpande to head RIL’s media and
entertainment business as President of the Chairman’s
Office
Reliance Industries Limited (“RIL”) and Eros International PLC
(“Eros”) announced today that RIL, through a subsidiary, has agreed
to subscribe to a 5% equity stake in NYSE listed Eros at a price of
$15.00 per share, which represents an 18% premium to last closing
price. The transaction is subject to customary regulatory and other
approvals.
Furthermore, RIL and Eros International Media Limited (“Eros
India”) announced that they have agreed to partner in India to
jointly produce and consolidate content from across India. The
parties will equally invest up to approximately $150 million to
produce and acquire Indian films and digital originals across all
languages.
In addition, it was announced that Ms. Jyoti Deshpande, Group
CEO and MD of Eros will be stepping down from her Executive role
after more than 17 years in Eros and move on to head the Media and
Entertainment business at RIL as President of the Chairman’s
Office. Ms. Deshpande will start her role at RIL from April 2018,
but will continue to remain as a Non-Executive Director on the
Board of Eros. Mr. Kishore Lulla will resume his position of Group
Chairman and CEO of Eros.
In her new role at RIL, Ms. Deshpande will lead the company’s
initiatives in Media and Entertainment to organically build and
grow businesses around the content ecosystem such as Broadcasting,
Films, Sports, Music, Digital, Gaming, Animation etc., as well as
integrate RIL’s existing media investments such as Viacom and
Balaji Telefilms with a view to build, scale and consolidate the
fragmented $20 billion Indian M&E sector.
Mukesh Ambani, Chairman & Managing Director, RIL commented,
“We are pleased to join hands with Eros, as it will bring further
synergies into our plans, making for a win-win partnership. We are
delighted to welcome Ms. Jyoti Deshpande into the Reliance family
and believe that she will not only give wings to our plans but also
play a pivotal role in transforming the sector.”
Commenting on the development Mr. Kishore Lulla said, “I am very
pleased that Eros is partnering with RIL in its entertainment
journey with several synergies across technology, content and
digital with Eros Now. We look forward to collaborating and growing
as we continue to make new strides on the digital and content
forefronts. I am confident that together, we can make a meaningful
difference. Jyoti Deshpande has been an invaluable part of the
incredible Eros growth journey and I am confident that she will
make a positive impact on the industry in her new role at RIL. I
wish her the very best of luck.”
Ms. Jyoti Deshpande commented, “Having worked and associated
with Eros group since 1998, it has been an integral part of my
professional career and I extend my heartfelt thanks to Kishore
Lulla and the Eros family for the opportunity to build an amazing
company together. I am delighted that RIL has strategically aligned
with Eros, so the association continues. My new assignment at RIL
will allow me to push boundaries, set new standards of excellence,
assemble a world-class young leadership team and adopt a
collaborative approach to architect and execute this ambition in
true RIL tradition. I am genuinely honored and humbled to have been
granted this opportunity but more than anything I cannot wait to
roll up my sleeves.”
About RIL
RIL is India’s largest private sector company, with a
consolidated turnover of INR 330,180 crore (USD 50.9 billion), cash
profit of INR 42,800 crore (USD 6.6 billion), and net profit of INR
29,901 crore (USD 4.6 billion) for the year ended March 31,
2017.
RIL is the first private sector company from India to feature in
Fortune’s Global 500 list of ‘World’s Largest Corporations’ –
currently ranking 203rd in terms of revenues, and 110th in terms of
profits. The company stands 106th in the ‘Forbes Global 2000’
rankings for 2017 – the top-most among Indian companies. It ranks
10th in LinkedIn’s ‘Top Companies Where India Wants to Work Now’
(2017). RIL’s activities span hydrocarbon exploration and
production, petroleum refining and marketing, petrochemicals,
retail and 4G digital services.
About Eros International Plc
Eros International Plc (NYSE: EROS) is a leading global company
in the Indian film entertainment industry that acquires,
co-produces and distributes Indian films across all available
formats such as cinema, television and digital new media. Eros
International Plc became the first Indian media company to list on
the New York Stock Exchange. Eros International has experience of
over three decades in establishing a global platform for Indian
cinema. The Company has an extensive and growing movie library
comprising of over 3,000 films, which include Hindi, Tamil, and
other regional language films. The company also owns the rapidly
growing OTT platform Eros Now. For further information please
visit: www.erosplc.com.
About Jyoti Deshpande
Ms. Jyoti Deshpande has over 25 years of experience in media and
entertainment across advertising, media consulting, television and
film. She has been part of the leadership team of Eros
International Plc since 2001 and as Group CEO & MD she has
spearheaded Eros’s growth as a global leader in Indian filmed
entertainment. Prior to joining Eros in 2001, Ms Deshpande has
worked for 7 years in the field of advertising, media consulting
and television with companies such as J Walter Thompson India,
Mindshare, Zee Television and B4U Television. Ms. Deshpande has a
Bachelor’s Degree in Commerce and Economics from Mumbai University
and a Master’s Degree in Business Administration (MBA) from SPJIMR,
Mumbai University.
Ms. Deshpande was featured in the prestigious Fortune India
magazine’s 50 Most Powerful Women in Business (2017/2015) which
celebrates the journeys and triumphs of women who not only impact
their organizations but are also thought leaders in their industry.
Ms. Deshpande was also featured in the list of Top 50 Most Powerful
Women in Business by Business Today (2015). She was also recently
awarded as one of the Women of the Decade for Innovation and
Leadership by Women Economic Forum.
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version on businesswire.com: http://www.businesswire.com/news/home/20180220005983/en/
Eros International PlcMark Carbeck, +44 207 258 9909Chief
Corporate and Strategy
Officermark.carbeck@erosintl.comorMedia:Sloane &
CompanyErica Bartsch, +1 212 446 1875ebartsch@sloanepr.com
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