Global entertainment powerhouse Disney (NYSE:DIS) has reportedly held discussions about selling its streaming and television operations in India to business tycoons Gautam Adani and Kalanithi Maran, according to Bloomberg.
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The talks also included private equity firms. Reportedly, the company is looking at a range of options, including offloading some of its operations in India or selling a mix of assets from the business unit. The talks are still in the early stages, and a deal may or may not materialize.
India, with its burgeoning population, is a major market for streaming platforms. Recently, Mukesh Ambani-led Reliance Industries’ streaming platform, JioCinema, has been steadily heating up the competition in the industry. India is the largest area of operations for Disney based on the number of users. However, the unit incurred a loss last year as users flocked to JioCinema, which offered free viewership of major cricketing tournaments.
Disney is also betting on free cricket viewership in the country. Meanwhile, JioCinema has been expanding its content library. The platform has teamed up with Warner Bros. Discovery (NASDAQ:WBD), and its parent, Viacom18, counts Reliance and Paramount Global (NASDAQ:PARA) as its investors.
What Is the Target Price for DIS Stock?
Overall, the Street has a consensus price target of $106.37 for Disney, along with a Moderate Buy consensus rating. This implies a 31.6% potential upside in the stock.
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