ProSiebenSat.1, TF1, Mediaset in digital media alliance
German commercial broadcaster ProSiebenSat.1 Group is continuing to internationalise its online video business and is building up a strategic partnership with its European media partners TF1 Group (France) and Mediaset (Italy) in the field of multi-channel networks (MCN).
Both media corporations are investing in ProSiebenSat.1’s premium MCN – Studio71 – by way of a capital increase with shares of 5.5 per cent (Mediaset) and 6.1 per cent (TF1) at a company valuation of approximately €400 million. ProSiebenSat.1 retains about 70 per cent of the shares in Studio71.
As part of the transaction, the Munich-based media group has agreed to acquire a strategic minority interest in Finder Studios, a French premium MCN co-founded by TF1. The investment in Finder Studios is subject to approval by the German Federal Cartel Office and the Austrian Federal Competition Authority. Furthermore, ProSiebenSat.1 and Mediaset have agreed to found a joint venture, which will roll-out the Studio71 business model in the Italian market.
The new investors will support Studio71 in tapping into additional markets alongside Germany, USA, Canada, Great Britain and Austria, and in continuing its consistently strong growth trajectory over the recent years. As part of the partnership, the appropriate infrastructure will now be set up in France and Italy in order to promote Studio71’s business rapidly and sustainably in the new markets. All partners will thus benefit equally from the innovative business model of the premium network that ProSiebenSat.1 has established. In particular, this includes the marketing, monetisation, distribution and production of web video content. …
… read on at advanced-television.com
Originally posted by Colin Mann at Advanced Television
12th January 2017