Universal Music India Acquires 30% Stake in Excel Entertainment for ₹2,400 Crore

Universal Music India announced on Monday that it has entered into a definitive agreement to acquire a 30% equity stake in Excel Entertainment, the renowned film and digital content studio founded by Ritesh Sidhwani and Farhan Akhtar. The transaction represents a significant milestone in the convergence of music and film entertainment in India, establishing Excel Entertainment's valuation at ₹2,400.00 crores.

Deal Structure and Valuation

The comprehensive agreement positions Universal Music India as a significant minority shareholder in Excel Entertainment. Under the deal structure, Excel founders Ritesh Sidhwani and Farhan Akhtar will continue to shape creative direction and content decisions while benefiting from Universal Music Group's global expertise and distribution network.

Strategic Partnership Benefits

The alliance creates multiple revenue streams and collaborative opportunities between the two entities. Universal Music Group will gain global distribution rights for all future original soundtracks created for projects owned or controlled by Excel Entertainment. Additionally, the partnership includes the launch of a dedicated Excel music label, which will be globally distributed by Universal Music Group.

Universal Music Publishing Group will serve as Excel's exclusive music publishing partner, creating opportunities for existing Universal Music Group and Universal Music India artists and repertoire to be included in Excel's future productions. This integration allows for cross-pollination of talent and content across both organizations' portfolios.

Leadership and Governance

Devraj Sanyal, Chairman and CEO of Universal Music India & South Asia and SVP of Strategy, Africa, Middle East and Asia, will serve on Excel Entertainment's Board of Directors as part of the agreement. This appointment ensures direct strategic oversight and collaboration between the two companies while maintaining Excel's creative independence.

Company Background and Track Record

Excel Entertainment, founded in 1999 by Ritesh Sidhwani and Farhan Akhtar, has established itself as a prominent player in Indian entertainment. The studio has released more than 40 films, beginning with the 2001 blockbuster 'Dil Chahta Hai', and has expanded into original scripted series shows. The founders have collectively garnered 60 entertainment industry awards and accolades throughout their careers.

Market Positioning and Future Outlook

Adam Granite, Universal Music Group CEO of Africa, Middle East and Asia, emphasized that the announcement strengthens Universal Music Group's position in India, describing it as a dynamic and strategically important music market globally. The partnership positions Universal Music Group to contribute from the earliest stage to Excel's future endeavors throughout the creative process.

Excel Entertainment founders stated that India's entertainment landscape continues to grow from strength to strength, making this the perfect moment to build meaningful global collaborations. They described the partnership as a "truly creative and transformative alliance" that unlocks fresh opportunities for artists and repertoire across music, film, and emerging formats.