‘BBC Studios Acquires Full 50% Stake in BritBox International’
ITV plc has recently announced the sale of its entire 50% interest in digital subscription streaming service BritBox International to joint venture partner BBC Studios for a cash consideration of £255 million. This move aligns with ITV’s strategy to focus on enhancing its UK advertiser-funded streaming service, ITVX, and expanding its global Studios division. The Board plans to return the net sale proceeds to shareholders through a share buyback after the full-year results on 7 March.
Despite the sale, ITV Studios will continue to receive a revenue stream from BritBox International for the use of ITV content under extended licensing agreements. BritBox UK, on the other hand, remains unaffected and will continue to feature BBC content through separate long-term agreements.
ITV CEO, Carolyn McCall, expressed her gratitude to the BritBox International team for their success, with particular recognition for CEO Reemah Sakaan. Similarly, BBC Studios CEO, Tom Fussell, emphasized the significance of the acquisition for BBC Studios’ growth strategy and commitment to British content.
As part of the transaction, loans from ITV plc to BritBox International Ltd and ITV SVOD Australia Pty Ltd will be repaid. The sale involves ITV disposing of its interests in BritBox LLC, BB Rights LLC, Denipurna Limited, BritBox International Limited, and ITV SVOD Australia Pty Ltd. This disposal is classified as a Class 2 transaction under the UK Listing Rules.
Overall, this strategic move by ITV plc signifies a shift in focus towards its core goals and growth opportunities in the rapidly evolving streaming industry.