Hulu partners buy out Providence stake for estimated $200M
Providence Equity Partners has completed the sale of its 10 percent stake in Hulu to the other owners of the online streaming service, including Comcast's (Nasdaq: CMCSA) NBCUniversal, News Corp. (Nasdaq: NWSA) and Walt Disney Co. (NYSE: DIS). The completion of the deal, estimated to be worth around $200 million, comes about six months after Providence appeared to begin an effort to sell its stake.
It was just over a year ago that Hulu's owners reportedly were pondering the sale of the entire company amid rising programming costs and some rumored disagreement among the owners about the future strategic plan for Hulu. However, that effort ended last fall when Comcast, News Corp., and Disney re-committed to the online video firm.
Providence invested about $100 million in Hulu back in 2007. Comcast acquired what amounted to about a 30 percent stake in Hulu through its NBCUniversal deal, but as a condition of having that deal approved, Comcast does not a have a controlling stake in the company.
- read this Variety story