Universal Music Buys 30% Stake in Bollywood’s Excel Entertainment for $80m

Key Takeaways

• Universal Music Group has acquired a 30% stake in Excel Entertainment, a Bollywood production house, in a deal valued at 24 billion Indian rupees (approximately USD $267 million).
• The strategic partnership gives UMG worldwide distribution rights for all future original soundtracks created for projects owned or controlled by Excel.
• Excel Entertainment will have a dedicated music label with global distribution capabilities, and Universal Music Publishing Group will serve as the exclusive music publishing partner.
• The investment marks UMG’s latest strategic move in India, a key global music market, and is expected to bring new opportunities for artists and repertoire across music, film, and emerging formats.

Introduction to the Deal
The start of 2026 has seen Universal Music Group making a significant investment in the Indian music market. The company’s division in India has signed a definitive agreement to acquire a 30% stake in Excel Entertainment, a prominent Bollywood production house. This deal values Excel Entertainment at 24 billion Indian rupees, which is approximately USD $267 million. The strategic partnership between Universal Music Group and Excel Entertainment is expected to bring new opportunities for artists and repertoire across music, film, and emerging formats.

About Excel Entertainment
Excel Entertainment is a well-known production house in India, founded by producers Ritesh Sidhwani and Farhan Akhtar in 1999. The company has produced several successful Indian movies, including Gully Boy, which was India’s first hip-hop film and the country’s official entry to the Academy Awards in 2019. Excel Entertainment has also produced other notable titles such as Inside Edge, India’s first original series on Amazon Prime Video, which was nominated for the International Emmy Awards under the Best Drama category in 2018. The company’s other notable productions include Dil Chahta Hai, Don, Zindagi Na Milegi Dobara, Talaash, and Fukrey & Toofaan.

Terms of the Deal
As part of the deal, Universal Music Group will have worldwide distribution rights for all future original soundtracks created for projects owned or controlled by Excel Entertainment. A dedicated Excel music label with global distribution capabilities will be rolled out, and Universal Music Publishing Group will serve as the exclusive music publishing partner of Excel. Devraj Sanyal, Chairman and CEO of Universal Music India & South Asia and SVP of Strategy, Africa, Middle East and Asia, will join Excel Entertainment’s board, while Sidhwani and Akhtar will remain in the company to oversee creative direction and content decisions.

Reaction to the Deal
The investment has been welcomed by both parties, with Devraj Sanyal stating that "Farhan and Ritesh have built an exceptionally impressive business, and we’re thrilled to be working with them on the next phase of their journey." Ritesh Sidhwani and Farhan Akhtar, co-founders of Excel Entertainment, have also expressed their excitement about the partnership, saying that "India’s entertainment landscape continues to grow from strength to strength, and this is the perfect moment to build meaningful global collaborations." Adam Granite, UMG’s CEO of Africa, Middle East and Asia, has also commented on the deal, saying that it further bolsters UMG’s presence in India, which is a "dynamic and strategically important music market for the group globally."

UMG’s Presence in India
The investment marks Universal Music Group’s latest strategic move in India, which is the world’s 15th largest recorded music market by annual revenues, according to IFPI. In recent years, UMG has made several significant investments in the Indian music market, including the launch of a new label called Pentertainment 0075 in partnership with superstar India-based rapper Badshah, and the acquisition of a majority stake in India-based music and entertainment company TM Ventures. UMG has also partnered with other Indian companies, such as Maddock Films and REPRESENT, to help introduce Indian music culture to global audiences.

Growing Appeal of Bollywood Music
The investment comes amid the growing appeal of music used in Bollywood films. Last month, India’s oldest music label Saregama agreed to invest 3.25 billion Indian rupees ($36m) in Bhansali Productions, a Bollywood movie studio founded by Indian film director Sanjay Navin Bhansali. The studio is known for films like Hum Dil De Chuke Sanam and Devdas, which won India’s National Film Award for Best Popular Film Providing Wholesome Entertainment and was nominated for the BAFTA Award for Best Film Not in the English Language in the UK. The growing appeal of Bollywood music is expected to bring new opportunities for artists and repertoire across music, film, and emerging formats.