Novi Digital Entertainment, the entity that owns Disney+ Hotstar, has initiated the process to merge with its parent company, Star India, owned by The Walt Disney Company, as reported by the Economic Times.
As per reports, the merger proposal has also been formally presented to the Mumbai division of the National Company Law Tribunal (NCLT).
The main objective of this merger is a strategic realignment of operations in streaming, broadcasting, and distribution.
In their submission to the NCLT, Star and Novi emphasized that the consolidation aims to achieve economies of scale, enhance operational efficiencies, prioritize growth, optimize resource utilization, and reduce costs.
These developments coincide with Walt Disney’s exploration of potential investors for Star India. Conversations with entities like RIL and Blackstone have been underway as Walt Disney considers a potential sale, either partial or full, of their India business of Star India.