Bodhi Tree Systems (Bodhi), which is a platform of James Murdoch’s Lupa Systems and Uday Shankar, the former Star India executive, has reduced its planned investment in Viacom18 by nearly 70 per cent.

Viacom18 is a joint venture between TV18, which is an arm of Reliance Industries, and Paramount Global.

Last year when the partnership was announced, the company had disclosed that Bodhi Tree Systems is leading a fundraise with a consortium of investors to invest Rs 13,500 crore in Viacom18.

Bodhi will now invest Rs 4,306 crore in Viacom18, a statement from the latter said on Thursday. Bodhi is backed by the Qatar Investment Authority, the sovereign wealth fund of the state of Qatar.

A Reuters report quoting sources said that the investment amount by Bodhi was reduced because of a broader funding squeeze even as dealmaking has seen a slowdown over the past few months due to various factors that include rising interest rates, elevated inflation and fears of a recession in some advanced economies.

Viacom18 said that Reliance group entities will lead the investment this time by bringing Rs 10,839 crore. Including the investment by Bodhi, the total fund raise will stand at Rs 15145 crore.

It added that as a consequence of the closing of the transactions, the share of TV18 in Viacom18 will be 50.994 per cent. Paramount Global will hold 48.994 per cent and Bodhi Tree, 0.011 per cent.

Besides, Viacom18 will also issue compulsorily convertible preference shares to Reliance group entities and Bodhi.

On a fully diluted basis, while the Reliance entities will hold 60.37 per cent, the holding of TV18 will stand at 13.54 per cent, Bodhi Tree at 13.08 per cent and Paramount Global at 13.01 per cent.

According to Viacom18, the partnership will enable it to innovate and disrupt the media and entertainment sector, with Uday Shankar and James Murdoch providing strategic and operational guidance to the company.