Last week, Reliance Jio integrated its music streaming business, JioMusic with US-based over-the-top (OTT) music service Saavn, with the combined entity valued at over $1 billion. The deal will see Delaware-registered Saavn LLC become a wholly-owned subsidiary of Saavn India, and therefore, an indirect subsidiary of Reliance Industries Limited (RIL). The transaction means that RIL would acquire an 81.7% stake in Saavn India in exchange for the transfer of its music business to Saavn India.
Saavn's New Coming
The Reliance Jio symphony
Mukesh Ambani’s Reliance Jio is hungry for content. With JioMusic-Saavn merger, it has thrown caution to the wind
Close on the heels of Tencent's $115 million investment into Gaana in February, Reliance's JioMusic and Saavn announced a merger in a transaction valued at over $1 billion
The JioMusic-Saavn merger is the latest in Reliance's growing list of recent investments in content, including Balaji Telefilms and Eros International among others
The deal will allow JioMusic to finally step out of the Jio walled garden and compete in India's open internet
More consolidation is expected in India's music streaming space ahead of Spotify's arrival late this year or early next year