Reliance Industries Ltd., headed by Asia's richest tycoon Mukesh Ambani, is reportedly closing in on a cash and stock deal to acquire Walt Disney Co.'s India operations, according to insiders familiar with the matter. The deal, which is said to be worth around $10 billion, would involve Reliance purchasing a controlling stake in the Disney Star business.

Sources, who requested anonymity due to the confidential nature of the discussions, revealed that Disney has chosen to pursue a comprehensive deal instead of dividing its operations into smaller transactions. While Disney values the Indian business at $10 billion, Reliance sees the assets at a slightly lower valuation, ranging between $7 billion and $8 billion.

It is anticipated that the acquisition could be made public as early as next month, with some of Reliance's media units being integrated into Disney Star, although further details on the potential merger were not provided by the sources.

Under the proposed agreement, it is expected that Disney will retain a minority stake in the Indian company even after the cash and stock swap is finalized. However, no final decisions have been made on the deal or its valuation, and Disney may still choose to hold onto the assets for a longer period of time.

Reliance Industries responded to the reports by stating that the company continuously evaluates various opportunities and will disclose any necessary information as required. On the other hand, Disney representatives in India did not respond to requests for comments regarding the potential deal.

This potential deal signifies Mukesh Ambani's intention to disrupt India's entertainment industry, following his acquisition of streaming rights to the Indian Premier League for $2.7 billion in 2022. Additionally, Reliance's JioCinema platform garnered attention by broadcasting the highly popular domestic cricket tournament for free earlier this year.

Furthermore, Reliance secured a multi-year agreement to broadcast HBO shows from Warner Bros Discovery Inc., previously held by Disney. While Disney Star has faced challenges with declining subscriber numbers, the company has remained active in the market and continued to invest. Previous reports suggested that Disney has been exploring other options for its India business, including an outright sale or the establishment of a joint venture.

Despite these challenges, Disney's streaming platform in India achieved a record-breaking viewership of 43 million for the recent India vs. New Zealand match in the Cricket World Cup 2023. This surpassed the viewership of 35 million for the highly anticipated India-Pakistan match earlier this month, according to a statement released by Disney.

As the negotiations between Reliance Industries and Walt Disney Co. unfold, industry experts and stakeholders eagerly await further updates on the potential landmark deal that could reshape India's entertainment landscape.