Comcast acquires 51 percent of NBC from GE
In the USA, cable operator Comcast takes control of media group NBC Universal in a deal worth billions. Comcast takes over 51 percent from General Electric (GE).
The rest will remain with the conglomerate. Comcast is paying around 6.5 billion dollars in cash to General Electric and is contributing parts of the company worth 7.25 billion dollars, as the two companies announced on Thursday according to SDA. Comcast had already tried unsuccessfully five years ago to take over the Walt Disney Group for 54 billion dollars in order to strengthen its business as a cable provider through content.
Vivendi consent was a prerequisite
With Universal, the company is now acquiring one of the leading Hollywood studios and NBC's TV network - the value of the group is estimated at around 30 billion dollars. Comcast itself already owns several television channels, including Style Network, Golf Channel and E! Entertainment Television. The deal was subject to the approval of the French Vivendi Group. Vivendi held 20 percent of NBC Universal and has now sold this to GE for 5.8 billion dollars, as it announced in Paris.
No large-scale redundancies planned
After details emerged a few days ago, experts had expected a decision to be made soon. GE CEO Geoffrey Immelt himself traveled to Paris last week to convince Vivendi CEO Jean-Bernard Levy of the deal. Until the very end, there had been disputes about how much GE would pay for the complete takeover of NBC and when the money would flow. Vivendi wants to simplify its structure with the separation from NBC. It will also free up money to drive expansion in emerging markets.
NBC is to become the centerpiece of the joint venture between GE and Comcast. Talks have been underway since the spring, Comcast CEO Brian Roberts told CNBC. It is not expected that there will be any large-scale redundancies.
Vivendi consent was a prerequisite
With Universal, the company is now acquiring one of the leading Hollywood studios and NBC's TV network - the value of the group is estimated at around 30 billion dollars. Comcast itself already owns several television channels, including Style Network, Golf Channel and E! Entertainment Television. The deal was subject to the approval of the French Vivendi Group. Vivendi held 20 percent of NBC Universal and has now sold this to GE for 5.8 billion dollars, as it announced in Paris.
No large-scale redundancies planned
After details emerged a few days ago, experts had expected a decision to be made soon. GE CEO Geoffrey Immelt himself traveled to Paris last week to convince Vivendi CEO Jean-Bernard Levy of the deal. Until the very end, there had been disputes about how much GE would pay for the complete takeover of NBC and when the money would flow. Vivendi wants to simplify its structure with the separation from NBC. It will also free up money to drive expansion in emerging markets.
NBC is to become the centerpiece of the joint venture between GE and Comcast. Talks have been underway since the spring, Comcast CEO Brian Roberts told CNBC. It is not expected that there will be any large-scale redundancies.
