Adar Poonawalla is set to purchase a 50% share in Karan Johar’s Dharma Productions for a whopping 1000 crore, ensuring that Johar retains full creative authority.
Adar Poonawalla invests ₹1000 crore to secure a 50% ownership stake in Dharma Productions owned by Karan Johar.
Adar Poonawalla, the CEO of the Serum Institute of India, is reportedly acquiring a 50% ownership in Karan Johar’s Dharma Production and Dharmatic Entertainment for ₹1000 crore. According to Economic Times’ sources, this investment is being made personally by Adar Poonawalla through Serene Productions. Following the transaction, Dharma Production will maintain the remaining stake, while Karan Johar will stay on as the company’s creative leader in the role of Executive Chairman.
The report highlighted that the primary reason behind forging this alliance was Johar’s ability to maintain creative autonomy while collaborating with a wealthy family he knows well. With the backing of the Poonawalla investment, the production company will have the financial strength to adapt to the rapidly evolving preferences of tech-savvy consumers, many of whom are digital natives. This financial injection will further enhance Dharma’s endeavors to expand its content offerings across emerging platforms and styles, all the while ensuring the delivery of captivating narratives to a worldwide viewership.
Following reports of Dharma Productions actively pursuing investments and holding discussions with various major conglomerates, the company revealed a remarkable increase in revenue to ₹1,040 crore in FY23, up from ₹276 crore the year before. Despite this growth, the net profit experienced a significant decline of 59% to ₹11 crore, attributed to a substantial 4.5-fold surge in expenses amounting to ₹1,028 crore. Notably, in the same fiscal year, the company generated revenue streams from distribution rights (₹656 crore), digital platforms (₹140 crore), satellite rights (₹83 crore), and music (₹75 crore).
