Universal Music India to acquire minority stake in Excel Entertainment

Under the terms of the agreement, Universal Music will gain global distribution rights for all future original soundtracks created for projects owned or controlled by Excel

Universal Music India (UMI) on Monday announced that it has entered into a definitive agreement with Excel Entertainment to acquire a significant minority stake in the latter.

 

The deal values Excel Entertainment, an Indian film and digital content studio founded by Ritesh Sidhwani and Farhan Akhtar, at Rs 2,400 crore. However, the companies did not disclose the amount and the stake expected to be acquired.

 

“The deal will provide the foundation for a new strategic partnership between UMI and Excel to accelerate the latter’s growth and further enhance UMI’s position in the important Indian market,” the two companies said in a joint release.

 

 

Under the terms of the agreement, Universal Music Group (UMG), the parent company of UMI, 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. 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, while its founder Sidhwani and Akhtar will continue to shape creative direction and content decisions.

 

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.”

 

Excel was founded in 1999 and has released more than 40 film and original scripted series shows, including Dil Chahta Hai, Lakshya, Zindagi Na Milegi Dobara among others.

 

“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,” Sanyal said.

 

Sidhwani and Akhtar said, “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.”

 

The combination of the investment and strategic partnership offer a unique opportunity for UMG to strengthen its presence in an important and high-potential market for recorded music, the release said.

 

India ranks as the world’s 15th-largest recorded music market by revenues, according to the most recent data from IFPI.

 

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, it added.

 

Universal Music India re-entered the film soundtrack segment in 2025 and signed a long-term partnership with Maddock Films. Under this partnership, the company entered mainstream Bollywood with two films, Sidharth Malhotra-starrer Param Sundari and Thamma, a part of Maddock Films’ horror-comedy universe.

 

In a recent interview, Sanyal told Business Standard that the company is going after strategic long-term relationships and not short-term single film deals. “Apart from the Maddock Films deal that we announced in August, we are about to announce several large, long-term strategic partnerships in the near future, which are important for the future of Indian storytelling,” he said.