India’s leading vaccine manufacturer has acquired a 50% stake in a prominent Bollywood production company known for its popular films.
Adar Poonawalla’s Serene Production will invest 10 billion rupees ($119 million; £91.3 million) in Karan Johar’s Dharma Productions and Dharmatic Entertainment, according to a statement from his company.
Poonawalla also leads the Serum Institute of India (SII), the world’s largest vaccine producer by doses, which delivered millions of Covid-19 vaccines for India and many other countries during the pandemic.
Poonawalla’s investment in the entertainment sector is a notable move as Bollywood seeks to recover from a challenging period following the Covid-19 pandemic, which led to the closure of theaters.
The industry is also contending with increasing competition from numerous local and global streaming platforms in India.
“I am delighted to have the opportunity to partner with one of the most iconic production houses in our nation, along with my friend Karan Johar,” Poonawalla said in a release. “We hope to build and grow Dharma and scale even greater heights in the years to come.”
Johar is one of India’s leading producers and directors, renowned for his popular television shows. His four-decade-old production company has produced iconic films such as Kuch Kuch Hota Hai and Kabhi Khushi Kabhi Gham, featuring superstar Shah Rukh Khan.
However, in recent years, many of the films produced by his company have struggled to generate the expected excitement at the box office.
Earlier reports indicated that Johar was in discussions with India’s top conglomerates, Reliance and RPSG—owner of the music label Saregama—about potential investments in his firm.
Commenting on the partnership in which he will retain 50% stake, Johar said, “This partnership represents a perfect blend of our emotional storytelling prowess and forward-thinking business strategies.”
“This collaboration opens up a world of possibilities for creating content that will resonate across borders and generations,” he said.