ITV revealed it is in talks with Comcast and Sky to sell its media and entertainment division for $2.1 billion.
“[ITV] notes the recent press speculation and confirms that it is in preliminary discussions regarding a possible sale of its M&E business to Sky for an enterprise value of £1.6B,” the U.K. network said in a Friday statement. “There can be no certainty as to the terms upon which any potential sale may be agreed or whether any transaction will take place. A further announcement will be made in due course if appropriate.”
The deal would include ITV’s linear channels and its ITVX streaming platform. The Channel 3 brand also houses ITV Studios, which is famous for producing shows like “Coronation Street,” “This Morning” and “Love Island.”
Meanwhile, on Thursday, the U.K. network announced it was planning to cut costs $45.7 million (£35M) with “reduced discretionary spend” and “reduced marketing spend aligned with the adjusted content slate.”
“U.K. macro data is showing a softening economy, with increased uncertainty in the lead up to the U.K. Budget which is impacting the wider advertising market, and we are adjusting our costs to match this current reduction in demand,” ITV CEO Carolyn McCall said in a Q3 earnings call. “We do not anticipate these temporary savings to impact our ability to deliver our strategic plan.”
These new international talks also notably come seven years after Comcast purchased Sky for roughly $39 billion (£30B).
Shares in ITV were up 15-19% on Friday morning following the news.
