Hulu LLC, the online TV service that’s now majority owned by Walt Disney Co. (DIS.N), agreed to buy back AT&T Inc.’s (T.N) 9.5 per cent stake, a deal that valued the whole entity at US$15 billion.
The AT&T stake being acquired by Hulu is valued at US$1.43 billion, the streaming platform said on Monday.
Hulu, based in Los Angeles, was previously co-owned by a quartet of media giants: Disney, 21st Century Fox Inc., Comcast Corp. and AT&T Inc. When Disney spent US$71 billion to acquire Fox’s entertainment businesses in March, it gained majority control. Disney Chief Executive Officer Bob Iger has said he’s interested in acquiring the rest.
“We thank AT&T for their support and investment over the past two years and look forward to collaboration in the future,” Hulu CEO Randy Freer said in Monday’s statement. AT&T’s WarnerMedia “will remain a valued partner to Hulu for years to come as we offer customers the best of TV, live and on demand, all in one place.”