Walt Disney and Indian conglomerate Reliance will merge their Indian companies, the U.S. leisure large introduced Wednesday.

The businesses shall be combining their respective Star India and Viacom18 items into the newly created Star India three way partnership, valued at roughly $8.5 billion on a post-money foundation, excluding synergies. The enterprise could have greater than 750 million viewers within the coveted Indian market, an announcement stated.

The transaction stays topic to regulatory, shareholder and customary approvals. The deal is predicted to finish in both the final quarter of this yr or the primary quarter of 2025.

Following the completion of the transaction, Reliance, led by Asia’s richest man, Mukesh Ambani, will management the three way partnership and inject $1.4 billion into its development technique. The possession construction will comprise of a 16.34% curiosity for Reliance, 46.82% for Ambani’s Viacom18 and 36.84% for Disney.

Ambani’s spouse, Nita Ambani, will chair the three way partnership, whereas Viacom18 board member Uday Shankar will function vice chairperson.

“India is the world’s most populous market, and we’re excited for the alternatives that this three way partnership will present to create long-term worth for the corporate,” Walt Disney CEO Bob Iger stated.

In a separate submitting, Disney stated it expects to report noncash pretax impairment costs between $1.8 billion and $2.4 billion within the present quarter, roughly half of which replicate a write-down of the web property of Star India.

The corporate provides that, beneath the present merger settlement, it is going to have three administrators on the board of the three way partnership, with RIL having 5 seats. Two unbiased administrators may also be named to the board.

Leisure corporations have been vying to make inroads within the prized Indian market, with Disney in search of to retain a presence within the nation regardless of subscriber losses over the course of final yr, a latest overhaul and $5.5 billion cost-cutting initiative that may entail a 7,000 discount in personnel.

“We’re wanting in an open-minded manner. We like being in enterprise in India, we might love to have the ability to strengthen our hand. I am unable to, at this level predict the place that may find yourself,” Iger advised CNBC in November.

Correction: This text has been up to date to appropriate the possession construction of the three way partnership.

Disclosure: Entities tied to Reliance Industries Chairman Mukesh Ambani have a stake within the father or mother firm of CNBC TV-18, CNBC’s native India associate.