In an important collaboration for the Indian entertainment sector, Adar Poonawalla's Serene Productions will pay Rs 1,000 crore to purchase a 50 per cent share in Karan Johar's Dharma Productions and Dharmatic Entertainment. Apoorva Mehta will continue as CEO, and Johar will keep the remaining stake and serve as Executive Chairman.
'I am delighted to partner with one of the most iconic production houses in our country, alongside my friend Karan Johar,' said Poonawalla, who has expanded his business into industries such as financial services, real estate, and hospitality. We intend to work together to advance Dharma and reach new heights.
The collaboration combines Poonawalla's strategic know-how with Dharma's storytelling heritage in an effort to leverage India's quickly expanding digital consumption.
The partnership aims to push the boundaries of content creation, satisfy the changing needs of digital-first audiences, and fortify India's entertainment ecosystem internationally by combining cutting-edge technologies and innovative production techniques.
Dharma Productions actively seeking funds
Several big conglomerates, such as Sanjiv Goenka's Saregama and Reliance Industries' Jio Cinema, have been in discussions with Dharma Productions, which has been actively looking for investments for a while.
The deal was facilitated by Raine Group, and it coincides with Dharma's revenue nearly quadrupling to Rs 1,040 crore in FY23 from Rs 276 crore the year before.
However, because of higher expenses, net profit dropped 59 per cent to Rs 11 crore. Distribution rights brought in Rs 656 crore, digital revenue brought in Rs 140 crore, satellite rights brought in Rs 83 crore, and music brought in Rs 75 crore for the company.
