Poonawalla's bold script: 50% stake buy in Dharma for ₹1K cr

Karan Johar to retain remaining 50% ownership

- ROSHNI SHEKHAR & DEEPAK PATEL

Serum Institute of India's Chief Executive Officer (CEO) Adar Poonawalla announced on Monday that his company, Serene Productions, will acquire a 50 per cent stake in Karan Johar's Dharma Productions and Dharmatic Entertainment, collectively known as Dharma, for ₹1,000 crore.

According to the binding agreement, Johar will retain the remaining 50 per cent ownership, Dharma Productions said in a statement.

This announcement follows several media reports suggesting that Johar wanted to monetise his stakes in Dharma. He had also held talks with several large firms, including Saregama and Reliance Industries.

Dharma Productions reported its lowest consolidated net profit in 10 years for 2023-24 (FY24), according to documents submitted to the Registrar of Companies on October 17 and reviewed by Business Standard.

The company's profit plunged by 94.5 per cent year-on-year (Y-o-Y) to ₹59 lakh in FY24. Consolidated revenue also declined by 50.2 per cent Y-o-Y to ₹520.2 crore. The company reported a decrease in its core revenue from the distribution and exhibition of films and other distribution rights by 83 per cent to ₹111.38 crore in FY24.

Poonawalla was quoted in the statement: “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. We hope to build and grow Dharma and scale even greater heights in the years to come.”