Universal Music Acquires 30 Percent Stake in India’s Excel Entertainment
Universal Music India acquires significant minority stake in India’s leading manufacturing companies Excel EntertainmentIt deepens its push into India’s fastest-growing entertainment market and creates a new pipeline between the country’s local film content and global music distribution.
The deal, announced on Monday, values Excel at ₹2,400 crore (about $290 million). Under the deal, Universal Music India, a division of Universal Music Group, will get a 30 percent equity stake while partnering with the Mumbai-based studio across films, TV series, music and emerging formats. The two companies described the deal as a strategic alliance designed to accelerate Excel’s growth while strengthening UMG’s position in India’s music-focused display economy.
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As part of the collaboration, UMG will receive global distribution rights to all future original music added to projects produced or controlled by Excel. The companies will also launch an exclusive Excel music label distributed worldwide by UMG; Universal Music Publishing Group will be the exclusive publishing partner of Excel and will open the door for UMG and Universal Music India artists to be included in Excel books.
“This partnership with UMG marks a pivotal step in our journey to expand creative opportunities and tell Indian stories through a global lens,” said Vishal Ramchandani, CEO of Excel. “With a shared vision of innovation and excellence, we aim to transform Excel into a creative global studio that delivers clutter-free, original content to audiences across platforms and geographies.”
Ritesh Sidhwani and Farhan Akhtar, who co-founded Excel in 1999 and will continue to drive Excel’s creative direction, framed the alliance as a moment to strengthen international collaboration at a time when India’s content industries are rapidly expanding. Meanwhile, UMG will have a seat on Excel’s board of directors through Devraj Sanyal, chairman and CEO of Universal Music India and South Asia and senior vice president of strategy for Africa, Middle East and Asia.
UMG executives said the deal positions the company in the early stages of Excel’s development pipeline — particularly around music-focused projects — in a market where movie soundtracks are central to listening habits and often enjoy extensive replay life.
“Today’s announcement further strengthens UMG’s position in India, a dynamic and strategically important music market for the group globally,” said Adam Granite, CEO of UMG’s Africa, Middle East and Asia division. “Original soundtracks continue to be at the heart of India’s fast-growing music market, and Indian listeners are showing a growing desire to access more music in this genre. By investing in and partnering with Excel Entertainment, UMG will be uniquely positioned to contribute to Excel’s future endeavors from the earliest stage and throughout the creative process, bringing huge benefits to both parties.”
Founded with great success Dil Chahta Hai In 2001, Excel founded one of India’s most recognized production brands, spanning theatrical films and web series. The list includes titles such as: lakshya, To wear, Zindagi Na Milegi Dobara, Fukrey, Dil Dhadakne Do And Gully BoyAside from streaming successes Inner Edge, Mirzapur, Made in heaven, Thanad and his latest Netflix project Dabba Cartel. The company’s projects were exhibited in Cannes, Berlin and Toronto, gaining both commercial interest and recognition at festivals.
For UMG, the investment comes amid strong structural growth in India, the world’s 15th largest recorded music market, with an unusually tight link between on-screen content and soundtrack performance. The companies cited the cultural staying power of the widely repeated soundtrack, as well as the country’s over 375 million OTT viewers and nearly 650 million smartphone users as positive indicators of the future.
Financial advisors for the transaction included legal advice provided by Morgan Stanley for Excel, AZB & Partners for UMG and Khaitan & Co for Excel. Ernst & Young and KPMG served as transaction advisors.
Both parties said the partnership aims to create new revenue streams and cross-platform opportunities while expanding the global reach of Indian stories and artists. They said details about the new Excel music label and upcoming music will be announced in the coming months.
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