Reliance Industries (RELI.NS), the most valued firm in India, and Walt Disney (DIS.N) have signed a non-binding term sheet to merge their respective media companies in India, according to a story published by the Economic Times on Monday. The post cited sources that it did not name.

The newspaper said that the merger would result in Reliance retaining 51% of the company through a mix of cash and shares, while Disney would keep the other 49%. This would result in the Reliance Group, which is owned by Indian billionaire Mukesh Ambani, having a greater degree of influence.

The transaction is anticipated to be finalized by February, and Reliance has stated that it intends to finish the process by the end of January, provided that regulatory permissions are obtained.

Neither Reliance nor Disney responded right away to Reuters’ requests for comment. Executives from the company met in London to discuss the next phase of the media merger, according to a report by Reuters two weeks ago.

To compete with television interests such as Zee Entertainment (ZEE.NS) and Sony (6758.T), as well as streaming giants such as Netflix (NFLX.O) and Amazon (AMZN.O) Prime, a merger would result in the formation of one of the most potent entertainment empires in India.

Through its media and entertainment division, Viacom18, Reliance operates a large number of television channels as well as the JioCinema streaming application. As a result of Ambani’s decision to provide free streaming of the Indian Premier League cricket event, which Disney once owned in India, the company has been engaged in a bitter dispute with Disney.

As a result, Disney’s streaming service, Hotstar, has seen a significant decrease in users in recent quarters. Disney has been investigating the possibility of selling its India business, which consists of many television channels, or entering into a joint venture arrangement with another company.

According to the Economic Times, the planned transaction would establish a division under Reliance’s Viacom18 that would acquire ownership of Star India through a stock swap. The statement stated that the parties are working on a plan to spend between one billion and one and a half billion dollars on the company. However, it did not clarify whether this was the overall amount or the amount each party would invest.

The newspaper has reported that the board of directors is anticipated to consist of an equal number of directors from Reliance and Disney, with at least two representatives from each company. According to the article, more attention is being given to the possibility of having at least two independent directors; however, this may be subject to change in the weeks ahead.