Reliance rejig of media business makes Sony merger less likely, say experts

Reliance Industries’ move to consolidate its media and distribution businesses under one entity Network18 Media & Investments will create a cleaner structure and make the merger of entertainment channels with Sony less likely, experts said.

Earlier this week, the company said it will merge its TV18 Broadcast business with Network18, and maintain the cable and broadband businesses of Hathway Cable & Datacom and Den Networks, which it bought in 2018, as separate wholly-owned subsidiaries of Network18.

Network18’s portfolio includes Nickelodeon, MTV, and CNBC TV18, among others.

“From RIL’s perspective, this creates a cleaner structure and is easier to manage (as it reduces listed entities),” BofA Securities said in a report Friday.