Hulu’s ownership will remain unchanged – at least for the time being.
This follows the decision by its backers 21st Century Fox, NBCUniversal and The Walt Disney Company to cancel an auction for its sale at the last moment.
At the same time, they committed $750 million (€574 million) to grow the company.
Speaking about the decision, Robert A. Iger, chairman and CEO, The Walt Disney Company, said: “Hulu has emerged as one of the most consumer friendly, technologically innovative viewing platforms in the digital era. As its evolution continues, Disney and its partners are committing resources to enable Hulu to achieve its maximum potential.”
Chase Carey, president and CEO of 21st Century Fox, added: “We believe the best path forward for Hulu is a meaningful recapitalization that will further accelerate its growth under the current ownership structure.
“We had meaningful conversations with a number of potential partners and buyers, each with impressive plans and offers to match, but with 21st Century Fox and Disney fully aligned in our collective vision and goals for the business, we decided to continue to empower the Hulu team, in this fashion, to continue the incredible momentum they’ve built over the last few years.”
Hulu attracted several bids, the highest one reported to be over $1 billion from DirectTV. Other bidders included Time Warner Cable and AT&T and Chernin Group, the latter two submitting a joint offer.
This is the second time Hulu’s prospective sale has been cancelled, the first having occurred in 2011.
