Key Takeaways
- Universal Music India (UMI) is set to take a 30% minority stake in Excel Entertainment, valuing the company at ₹2,400 crores ($300M).
- The deal gives UMI global distribution rights for all future soundtracks from Excel-owned or -controlled projects and launches a dedicated Excel music label.
- Universal Music Publishing Group will become the exclusive music publishing partner to Excel.
- Devraj Sanyal, Chairman and CEO of Universal Music India, will join Excel’s board, while founders Ritesh Sidhwani and Farhan Akhtar remain in control of creative direction and content.
Introduction to Universal Music India and Excel Entertainment
Universal Music India (UMI) is set to take a significant step in the Indian entertainment industry by acquiring a minority stake in Excel Entertainment, a renowned Bollywood movie and digital studio. The definitive agreement hands UMI a 30% shareholding in Mumbai-based Excel, valuing the company at ₹2,400 crores ($300M). Although the value of the transaction was not officially disclosed, its stake is worth $90M at current currency conversion rates. This deal is expected to have a significant impact on the Indian entertainment landscape, which continues to grow from strength to strength.
Background and Portfolio of Excel Entertainment
Excel Entertainment has been a major player in the Indian film industry since its inception in 1999. The company has made over 40 films and scripted TV shows, including several Indian box office hits such as Dil Chahta Hai, Don, Zindagi Na Milegi Dobara, and Talaash. In addition to its mainstream films, Excel has also produced more avant-garde features like Gully Boy, India’s first hip-hop film, and TV shows like Inside Edge, India’s first original series on Prime Video. The company’s recent projects, such as the drama series Dahaad and Superboys of Malegaon, have also received critical acclaim. With a diverse portfolio of films and TV shows, Excel Entertainment has established itself as a major force in the Indian entertainment industry.
Terms of the Deal and Future Plans
The deal between UMI and Excel Entertainment is expected to be a game-changer for both parties. UMI will gain global distribution rights for all future soundtracks from Excel-owned or -controlled projects, and will see the launch of a dedicated Excel music label, which UMG will distribute globally. Universal Music Publishing Group will also become the exclusive music publishing partner to Excel. Devraj Sanyal, Chairman and CEO of Universal Music India, will join Excel’s board, while founders Ritesh Sidhwani and Farhan Akhtar will remain in control of creative direction and content. The partnership is expected to unlock fresh opportunities for artists and repertoire across music, film, and emerging formats.
Rationale Behind the Investment
According to Adam Granite, UMG’s CEO of Africa, Middle East and Asia, the investment in Excel Entertainment is a strategic move to tap into the growing Indian music market. 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. The deal is expected to be a win-win for both UMI and Excel Entertainment, with both parties benefiting from each other’s expertise and resources.
Conclusion and Future Outlook
The deal between UMI and Excel Entertainment is a significant development in the Indian entertainment industry. With the Indian streaming market continuing to grow, the partnership is expected to play a major role in shaping the future of the industry. As Ritesh Sidhwani and Farhan Akhtar stated, the deal marks a "truly creative and transformative alliance" that will unlock fresh opportunities for artists and repertoire across music, film, and emerging formats. With the combined expertise and resources of UMI and Excel Entertainment, the partnership is expected to take culturally rooted stories to the world, providing a global platform for Indian talent and content. As the Indian entertainment industry continues to evolve, the deal between UMI and Excel Entertainment is expected to be a major talking point in 2026 and beyond.
