RIL has announced a strategic partnership to merge two music platforms into one, to provide a India’s largest music platform for music, media and artists. The JioMusic and Saavn got merged into one single entity for a deal valued at more than $1 Billion. Apart from that valuation, Reliance will further invest up to $100 million for growth of the company.
According to a press statement released by Saavn, JioMusic and Saavn got merged into one single platform, which is now valued at over 1 billion dollars, in which JioMusic’s valuation stands at $670 million. The statement further stress that Reliance Industries Limited will invest a total of 100 million dollars out of which $20 million will invested upfront for growth and expansion of merged into one platform. The three co-founders of Saavn, Rishi Malhotra, Paramdeep Singh and Vinodh Bhat, will continue in their leadership roles and will drive growth of the combined entity.
In addition to that, RIL is also acquiring partial stake from existing shareholders of Saavn for $104 million. This deal will merge with expertise of media streaming of Saavn into the digital ecosystem of JioMusic to provide a better and unlimited media entertainment to the customers. Let’s hear from the top management about this deal.
Akash Ambani, Director, Reliance Jio, said,
“The investment and combination of our music assets with Saavn underlines our commitment to further boost the digital ecosystem and provide unlimited digital entertainment services to consumers over a strong uninterrupted network. We are delighted to announce this partnership with Saavn, and believe that their highly experienced management team will be instrumental in expanding Jio-Saavn to an extensive user base, thereby strengthening our leadership position in the Indian streaming market.”
Rishi Malhotra, Co-Founder and CEO at Saavn, said,
“Nearly 10 years ago, we had a vision to build a connected music platform, dedicated to South Asian culture across the globe. Vin, Param and I always envisioned the company for the long term with intense focus on products, data, and ground-breaking original content. Our alignment with Reliance enables us to create one of the largest, fastest-growing, and most capable media platforms in the world.”
Paramdeep Singh, Co-Founder and Executive Vice Chairman at Saavn also commented,
“Saavn has been at the forefront of the digital music revolution in India. Our partnership with Reliance reinforces our commitment to the growth of our label partners, the independent artist ecosystem, and the overall music industry globally.”