Saregama India has entered into a strategic equity partnership with filmmaker Sanjay Leela Bhansali’s banner, Bhansali Productions, acquiring a 28 per cent stake in the company for ₹325 crore. The transaction implies a valuation of approximately ₹1,161 crore for Bhansali Productions. Under the agreement, Saregama will subscribe to 9,960 compulsorily convertible preference shares in Bhansali Productions on or before February 14, 2026. These preference shares will convert into equity in 2028, following which Saregama’s effective shareholding is expected to range between 28 per cent and 49.9 per cent, depending on the conversion formula. Post-conversion, Saregama will have the option to acquire additional shares to raise its holding to 51 per cent by March 31, 2030, enabling majority control of the production house.
In parallel with the equity investment, Saregama has entered into a comprehensive music rights agreement that secures rights to all future music created and produced by Bhansali Productions. The move strengthens Saregama’s long-term content pipeline and reinforces its leadership position in music licensing, particularly in premium, original film music.
Bhansali Productions has historically been associated with music-led cinema and critically acclaimed content, with soundtracks often playing a central role in the commercial and cultural life of its films. Industry observers note that this consistency in high-quality music and storytelling aligns well with Saregama’s catalogue-driven monetization strategy, potentially creating long-term value across both filmed content and music assets. The association could also enhance the valuation profile of both companies as premium content continues to attract sustained demand across theatrical, OTT, and music streaming platforms.
From a governance perspective, Bhansali Productions will retain full creative control over its projects, while Saregama will provide financial discipline and governance oversight. Ownership of intellectual property for all films will continue to remain with Bhansali Productions.
The partnership marks a significant convergence between a legacy music label and a filmmaker-driven production house, positioning the alliance to capitalize on the growing premiumization of Indian film and music content.