The move comes after India’s cabinet approved a proposal by Disney last month to buyout shares in UTV that it did not previously own.
The companies did not disclose how much Disney will pay to acquire the stake.
International firms have been looking to increase their presence in India to tap into the fast growing market.
“Increasing our brand presence and reach in key international markets is a cornerstone of our growth strategy,” said Andy Bird, chairman of Disney International.
Disney has already made forays into the Indian market and currently operates three TV channels in the country.
UTV is known for its film and television production as well as gaming and animation in India.
Disney said that the acquisition of the Indian firm will give it an opportunity to further enhance its presence in a market which has a growing consumer base.