DirecTV, two others bid over $1 billion for Hulu: source - Hindustan Times
close_game
close_game

DirecTV, two others bid over $1 billion for Hulu: source

Reuters | By
Jun 01, 2013 11:57 AM IST

Satellite operator DirecTV and two other bidders have offered more than $1 billion apiece to buy Hulu, a source with knowledge of the bidding process said on Friday, increasing the likelihood that owners News Corp and Walt Disney Co will be able to shed the video streaming service they failed to sell in 2011.

Satellite operator DirecTV and two other bidders have offered more than $1 billion apiece to buy Hulu, a source with knowledge of the bidding process said on Friday, increasing the likelihood that owners News Corp and Walt Disney Co will be able to shed the video streaming service they failed to sell in 2011.

HT Image
HT Image


Hulu board members, who are being advised by Guggenheim Partners on the auction, fielded at least seven buyout offers last week, the source said.

Hindustan Times - your fastest source for breaking news! Read now.

That number will be whittled down in the next two or three weeks, the source told Reuters on condition of anonymity because the process was private.

It was unclear which two other bidders offered $1 billion for Hulu. The service has more than 4 million subscribers and generates revenue of about $700 million through subscriptions and a free ad-supported service.

The proposed price tag heightens the likelihood that News Corp and Disney will find an acceptable offer price, which was the sticking point of the 2011 round of buyout negotiations.

DirecTV spokesman Darris Gringeri declined to comment, as did Meredith Kendall, a spokeswoman for Hulu. Bloomberg first reported the news on Friday.

Sources have said the other bidders are Yahoo, former News Corp president Peter Chernin, private equity firm KKR, cable operator Time Warner Cable, Guggenheim Digital, and Silver Lake Management and talent agency William Morris Endeavor Entertainment in a joint bid.

Cable company Comcast is the third owner of Hulu alongside News Corp and Disney, but is precluded from an operational role as a condition imposed on it upon its acquisition of NBC Universal in 2011.

Unlock a world of Benefits with HT! From insightful newsletters to real-time news alerts and a personalized news feed – it's all here, just a click away!- Login Now!
Stay informed on Business News along with Gold Rates Today, India News and other related updates on Hindustan Times Website and APPs
SHARE THIS ARTICLE ON
Share this article
SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Thursday, March 28, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On