Universal Music India Takes Significant Minority Stake in Excel Entertainment

Universal Music India (UMI), a division of Universal Music Group (UMG), the world leader in music-based entertainment, today announced that it has entered into a definitive agreement with Excel Entertainment, a leading Indian film and digital content studio. Under the agreement, which values Excel at ₹2,400 crores (~€257 million), UMI will become a significant minority shareholder in Excel with a 30% equity stake. The deal will provide the foundation for a new strategic partnership between UMI and Excel to accelerate Excel’s growth and further enhance UMI’s position in the important Indian market.

Excel Entertainment known for innovation in films and music

Excel has consistently broken new ground in storytelling and brought global standards to Indian cinema and original digital content. In addition to its focus on movies and original digital content, Excel has a strong track record in music, including musical dramas – a popular genre in the Indian market, and one which is internationally renowned.

Under the terms of the agreement, UMG will gain global distribution rights for all future original soundtracks created for projects owned or controlled by Excel. The alliance also includes the launch of a dedicated Excel music label, to be globally distributed by UMG.

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Universal Music Publishing Group will also become Excel’s exclusive music publishing partner, creating opportunities for existing UMG and UMI artists and repertoire to be included in Excel’s future productions.

Devraj Sanyal – Chairman and CEO of Universal Music India & South Asia and SVP of Strategy, Africa, Middle East, and Asia – will serve on Excel Entertainment’s Board of Directors as part of the agreement. Excel founders Ritesh Sidhwani and Farhan Akhtar will continue to shape creative direction and content decisions.

Ritesh Sidhwani and Farhan Akhtar, Founders of Excel Entertainment said,

“India’s entertainment landscape continues to grow from strength to strength, and this is the perfect moment to build meaningful global collaborations. We’re excited to partner with UMG in what we believe will be a truly creative and transformative alliance—one that unlocks fresh opportunities for artists and repertoire across music, film, and emerging formats. Together, we aim to take culturally rooted stories to the world.”

Vishal Ramchandani, CEO, Excel Entertainment said:

“This partnership with UMG marks a pivotal step in our journey to broaden creative opportunities and tell Indian stories with a global lens. With a shared vision for innovation and excellence, we aim to transform Excel into a creative global studio—one that brings clutter-breaking, original content to audiences across platforms and geographies.”

Adam Granite, UMG’s CEO of Africa, Middle East and Asia (AMEA), said:

“Today’s announcement further strengthens UMG’s position in India, a dynamic and strategically important music market for the group globally. 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 endeavours and throughout the creative process, providing huge benefits to both parties.”

Devraj Sanyal said:

“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. The Indian film scene presents a hugely exciting opportunity for music and the music-led entertainment business, and Excel is the perfect partner for us to work with going forward”.

The combination of the investment and strategic partnership offers a unique opportunity for UMG to strengthen its presence in an important and high-potential market for recorded music. India ranks as the world’s 15th-largest recorded music market by revenues, according to the most recent data from IFPI and with strong links between the Indian audio-visual and music sectors. Additionally, with a reach of more than 375 million ‘over-the-top’ viewers consuming movies, original shows, sports, reality shows, and documentaries, and with 650 million smartphone users in India, there is opportunity to continue to grow the market in the coming years.

Soundtracks are widely relistened to, compared to other music formats, significantly contributing to culture-shaping moments. By partnering with an experienced and highly successful film and digital content studio, UMG will be able to contribute to audio- visual projects and their associated original soundtracks and be a part of creating extraordinary visual content – beyond movies and shows – at the earliest possible stage

Excel was founded in 1999 by Ritesh Sidhwani and Farhan Akhtar, who between them have garnered 60 entertainment industry awards and accolades. The studio has released more than 40 film and original scripted series shows.

Beginning with the groundbreaking film Dil Chahta Hai in 2001, Excel has consistently driven the boundaries of cinematic storytelling with classics such as Lakshya, Talaash, Don, Honeymoon Travels Pvt Ltd, Zindagi Na Milegi Dobara, Fukrey, Dil Dhadakne Do and GullyBoy, the eponymous and highly acclaimed film released in 2019 that featured India’s growing hip-hop movement as its backdrop. The company has also embraced a digital first strategy, producing India’s first original series for Amazon Prime Video. The series, Inside Edge, was nominated for an International Emmy for Best Drama. Following its success, they produced Mirzapur, Made in Heaven, Dahaad and, most recently for Netflix, Dabba Cartel.

For the transaction, AZB & Partners acted as legal counsel to Universal Music Group, while Ernst & Young and KPMG served as transaction advisors to Excel Entertainment and Universal Music Group, respectively. Morgan Stanley acted as financial advisors to Excel Entertainment. Khaitan & Co serving as legal counsel to Excel Entertainment.