Television

CBS-Viacom merger is more whimper than Big Bang

13 Aug 2019

The broadcaster and the MTV owner, both controlled by the Redstone family, have finally inked a $30 bln reunion. Rogue CEOs, supine boards and dumb disputes gummed up the process. Hefty synergies won’t make up for perhaps more than $15 bln of value lost in three years of limbo.

European TV M&A belongs on the cutting-room floor

7 Aug 2019

Broadcasters like Italy’s $3.5 bln Mediaset are pushing for cross-border deals as the sector loses viewers to Netflix and advertisers to Google and Facebook. M&A is not the answer: most TV costs are local, meaning few savings, while the added complexity may be counterproductive.

Disney, Netflix similarities diverge at ambition

6 Aug 2019

The Magic Kingdom’s stock is near an all-time high as the $250 bln media firm readies its streaming video service. Disney has the content and brand to be a strong Netflix rival as their paths converge. But unlike Reed Hastings’ company, cord cutters will test investor patience.

Disney movie mojo is tight squeeze on small screen

22 Jul 2019

The $250 bln media giant’s “Avengers: Endgame” is now the No. 1 grossing film in the world. The Mouse House is home to another six of the top 10 movies, too, thanks to boss Bob Iger’s savvy deals. Transferring the magic to its forthcoming video-streaming services may be hard.

Netflix runs into an age-old Hollywood problem

17 Jul 2019

The $159 bln video-streaming service added fewer subscribers than forecast. A price hike played a part, but Netflix also blamed a less appealing line-up of shows. Predicting hits and flops has long flummoxed Tinseltown. The ensuing lumpy results are now in Netflix’s script, too.

Netflix gets the last laugh in HBO “Friends” deal

10 Jul 2019

WarnerMedia’s new video service HBO Max will exclusively air the comedy series for a mooted $425 mln – snatching it back from its online rival. A blow to Netflix? Not quite. The streaming giant has effectively made sure the next buyer has to shell out a high price to win it back.

Offloading Univision

9 Jul 2019

The Spanish-language broadcaster is up for sale. Will the buyers in the stretched 2007 leveraged buyout even recoup their original $4 bln investment?

Univision owners may be in for a downer ending

9 Jul 2019

Backers TPG, Saban Capital and others are looking to sell the Spanish-language broadcaster. The $14 bln buyout may have seemed sound 12 years ago. But after a failed IPO, questionable digital moves and a brutal TV environment, the investors could get back less than they put in.

Timing may at last be right for CBS-Viacom reunion

30 May 2019

The U.S. media groups are again talking about recombining after two failed attempts. The logic of the possible $29 bln merger has changed little. But with CBS under new management and Viacom neither thriving nor floundering, conflicting egos and valuations are no longer problems.

Comcast boss rides Disney’s streaming coattails

14 May 2019

Brian Roberts will hand over Hulu, but not yet. The NBC owner has the option to sell its minority stake to the Mouse House in five years for at least $5.8 bln but potentially far more if Hulu succeeds. Having lost Fox to Disney, Roberts has found another way to make Bob Iger pay.

Disney sports deal is small fumble in long game

6 May 2019

The Magic Kingdom sold some regional networks to Sinclair for $10.6 bln – much less than what was expected. But Disney completes a necessary task to clear its $71 bln deal for bits of Rupert Murdoch’s Fox. The launch of streaming services, with Fox content, is the greater prize.

Viewsroom: ‘Game of Thrones’-style war heads to TV

18 Apr 2019

HBO’s hit series is ending as parent AT&T, Amazon, Apple and Walt Disney launch their claims to the streaming-video crown. Netflix, though, will be hard to usurp. Elsewhere, India’s weeks-long election gets underway. And global economic growth collides with nationalism’s rise.

Netflix shows the high price of A-list status

16 Apr 2019

The video-streaming service boosted its subscribers by a quarter in the last three months even though it raised prices. It’s now valued at 70 pct more per user than rival Hulu, in which Disney just raised its stake. Netflix’s success isn’t impossible to copy – just very expensive.

‘Game of Thrones’ will end with an HBO cliffhanger

15 Apr 2019

The fantasy TV series entered its final season on Sunday, meaning its broadcaster will soon have a dragon-shaped hole to fill. HBO has weathered successful finales before. This time it’s under new ownership, and cash-rich rivals are paying up to claim the industry’s iron throne.

Mickey Mouse throws down a tiny white glove

12 Apr 2019

Disney's flagship video-streaming product will cost users less than Netflix, boss Bob Iger says. That’s aggressive. Even if the Magic Kingdom has the brand and content to attract millions, competitors will swing hard. Meanwhile Iger may not stick around to see the results.

ProSieben’s battered shares transmit M&A signal

7 Mar 2019

The German broadcaster is valued at a discount of almost 30 pct to rivals despite generating decent cash flows. Italy’s Mediaset talks of creating a pan-European media giant, but there are few synergies. Cash-rich private equity might be more tempted given the breakup potential.

AT&T uncovers hidden costs of media deals

1 Mar 2019

HBO boss Richard Plepler is leaving not even a year after the telco acquired parent Time Warner for $85 bln. The “Game of Thrones” network is a jewel and Plepler is a talent magnet. People can be replaced. It just makes an expensive deal even more so.

Viacom zigs as wannabe Netflix peers zag

23 Jan 2019

The MTV owner is buying a free streaming-TV service for $340 mln. That’s chump change compared with the $180 bln Disney, AT&T and Comcast have collectively spent on media deals to keep pace with Reed Hastings’s firm. Low-budget Viacom is wisely choosing a less-traveled path.

AT&T fails to grasp the true value of “Friends”

5 Dec 2018

It may let Netflix keep the TV show for around $100 mln, more than triple the price last time round. Given AT&T plans to launch its own video service, depriving a rival of a blockbuster could have been smarter. Maybe Time Warner’s new owner isn’t cut out for the media shark-tank

Tribune gets better M&A script in second season

3 Dec 2018

Nexstar is buying the U.S. media group for $4.1 bln. Tribune recently pulled out of an earlier deal after suitor Sinclair irked U.S. regulators. This go-around looks like a stronger plot. The price is higher, the buyer’s record is strong and there’s a clean sheet with watchdogs.