Saregama's Blockbuster Bet: A Strategic Stake in Sanjay Leela Bhansali's Production Giant

Saregama India Ltd has announced a strategic investment in Bhansali Productions Pvt Ltd through a Rs 325-crore subscription to compulsory convertible preference shares. This move is set to increase Saregama's stake in BPPL up to 51% by 2030, expanding their presence in music licensing and the video business.

Saregama India Ltd has taken a strategic step by investing in Bhansali Productions Pvt Ltd (BPPL) through a Rs 325-crore deal, sanctioned by its board on Tuesday. The investment will see Saregama subscribing to 9,960 compulsory convertible preference shares of BPPL, with completion expected by mid-February 2026.

The move positions Saregama India to significantly grow its stake in BPPL, ranging from 28% to nearly 50% on a fully diluted basis by 2028. Additionally, Saregama can acquire more shares in phases, potentially holding a 51% share by 2030. This also entails ownership of music curated by BPPL, boosting Saregama's foothold in music licensing and video production markets.

Established in 2003, BPPL has been pivotal in the Bollywood industry, producing hits like 'Padmaavat' and 'Gangubai Kathiawadi'. With a reported turnover leap from Rs 5.52 crore in FY'24 to Rs 304.14 crore in FY'25, BPPL has a promising future with upcoming projects featuring major stars like Ranbir Kapoor and Alia Bhatt.