Reliance Industries Limited (RIL) has marginally reduced its shareholding in the Ekta Kapoor-led production house, Balaji Telefilms, reflecting a strategic recalibration in its expansive media and entertainment portfolio. The conglomerate’s stake has decreased to 21.07 percent in the financial year 2024-25 (FY25), down from 24.82 percent in the preceding fiscal year, as disclosed in the company’s latest annual report.
Despite this reduction of 3.75 percentage points, Reliance maintains its position as the largest non-promoter shareholder in Balaji Telefilms. This continued significant role underscores RIL’s ongoing interest, even as its core media focus shifts towards larger entities like JioStar (following the Disney merger) and Viacom18, where it holds majority control and has injected over ₹20,000 crore in the last two years.
Reliance’s initial investment in Balaji Telefilms was a pivotal move in 2017, when the company acquired approximately 25 percent of the equity for ₹413 crore through a preferential issue. This was strategically aligned with the launch and expansion of Jio’s content strategy, providing a crucial library of original programming and exclusive content rights for its digital platforms, particularly ALTBalaji (now ALTT).
Balaji Telefilms, promoted by Ekta Kapoor and Shobha Kapoor, has long been a powerhouse in the Indian television industry and has built a growing presence in the film and digital entertainment space.
The marginal trimming of the stake comes at a time when the Indian media and entertainment sector is experiencing rapid consolidation and a significant digital-first transition. The decrease in RIL’s holding is being viewed by analysts as a move to rationalize investments as the conglomerate sharpens its content focus on its larger entities.
While Balaji Telefilms is currently shifting its business strategy to prioritize films and digital content over traditional television production—bolstered by a multi-project creative partnership with Netflix and B2B deals—Reliance’s reduced stake indicates a de-prioritization in their direct involvement compared to the initial Jio content push. Nevertheless, as the largest non-promoter shareholder, RIL remains an important stakeholder in the future growth and strategic direction of the content house.
Key Highlights:
- Stake Reduction: Reliance Industries (RIL) has reduced its holding in Balaji Telefilms to 21.07% in FY25, down from 24.82% in FY24, a drop of 3.75 percentage points.
- Largest Non-Promoter Shareholder: Despite the reduction, RIL remains the single largest non-promoter investor in the Ekta Kapoor-led content production company.
- Strategic Recalibration: The stake trim reflects a recalibration of RIL’s content strategy, shifting focus and significant capital towards its majority-owned media assets like JioStar and Viacom18.
- Original Investment: RIL initially invested ₹413 crore in 2017 for nearly 25% equity to support its Jio content play, leveraging Balaji’s library for digital platforms.