Universal Music Acquires 30% Stake in Excel Entertainment in India
Universal Music India (UMI) is poised to acquire a minority stake in Excel Entertainment, the renowned Bollywood film and digital studio known for hits like Dil Chahta Hai and Don.
The definitive agreement grants UMI, fully owned by Universal Music Group (UMG), a 30% share in Excel, valuing the studio at ₹2,400 crores ($300 million). While the exact value of the transaction remains undisclosed, UMI’s stake is valued at approximately $90 million based on current currency rates.
With this partnership, UMI will secure global distribution rights for all future soundtracks related to Excel’s projects and plans to establish a dedicated Excel music label that UMG will distribute worldwide. Universal Music Publishing Group will also become the exclusive music publishing partner for Excel.
Devraj Sanyal, UMI’s Chairman and CEO, will join the board of Excel. Founders Ritesh Sidhwani and Farhan Akhtar will remain in charge of creative direction and content.
Founded in 1999, Excel has produced over 40 films and scripted TV shows, gaining recognition for various Indian box office successes, including Dil Chahta Hai, Don, Zindagi Na Milegi Dobara, and Talaash. The studio also ventures into avant-garde cinema, with Gully Boy marking India’s first hip-hop film and representing the nation at the Oscars in 2019. Additionally, it has produced critically acclaimed TV series, such as the International Emmy-nominated Inside Edge, India’s first original series on Prime Video.
Excel’s recent drama series Dahaad gained a nomination at the Berlinale, while Superboys of Malegaon, co-produced with Tiger Baby, premiered at the Toronto Film Festival. The studio has also contributed to popular streaming series, including Prime Video’s Mirzapur and Netflix’s Dabba Cartel.
This deal marks a significant development in the Indian entertainment industry as the country’s streaming market continues to expand rapidly.
Sidhwani and Akhtar expressed enthusiasm about the partnership, stating, “India’s entertainment landscape continues to grow from strength to strength, and this is the perfect moment to build meaningful global collaborations. We’re excited to partner with UMG in what we believe will be a truly creative and transformative alliance – one that unlocks fresh opportunities for artists and repertoire across music, film, and emerging formats. Together, we aim to take culturally rooted stories to the world.”
Vishal Ramchandani, CEO of Excel, noted that the deal represents “a pivotal step in our journey to broaden creative opportunities and tell Indian stories with a global lens.”
Adam Granite, UMG’s CEO of Africa, Middle East and Asia, outlined the strategic value of the investment, stating, “Original soundtracks remain at the heart of India’s fast-growing music market, with Indian listeners showing a growing desire to access more music in that genre. By investing in and partnering with Excel Entertainment, UMG will be uniquely positioned to contribute from the earliest stage to Excel’s future endeavors and throughout the creative process, providing huge benefits to both parties.”
Legal counsel for UMG was provided by AZB & Partners, while Ernst & Young and KPMG acted as transaction advisors for Excel and UMG, respectively. Morgan Stanley served as financial advisors to Excel, with Khaitan & Co managing legal counsel.
