Variety: ITV, RedBird IMI in Early Talks to Merge Production Arms

Story from Variety:

ITV has held early talks with the Abu Dhabi-backed investment group RedBird IMI, led by CEO Jeff Zucker, about a potential merger of their production businesses, according to a report.

Citing two people with “knowledge of the situation,” Reuters claimed that the discussions had centered on merging ITV Studios with All3Media, which RedBird IMI acquired for $1.45 billion last year.

The sources — who spoke on condition of anonymity — said one route would be for ITV to merge ITV Studios with All3Media, with both RedBird IMI and ITV holding stakes in the new entity. However, they said the talks were still at an early stage and “may not lead to any transaction.”

A sell off of ITV Studios — which in 2023 made up just over half of ITV’s total group revenues — has been rumored for some time, with Mediawan and All3Media understood to be the key parties interested.

A combined ITV Studios and All3Media — whose more than 50 labels produce shows such as “The Traitors” and “Squid Games: The Challenge” alongside films including Sam Mendes upcoming four-part Beatles biopic — would be one of the largest production companies in Europe, with revenues of almost $4 billion going off 2023 figures.

Just two years ago, before RedBird IMI’s acquisition, it was ITV that had been looking to buy All3Media from Warner Bros. Discovery and Liberty Global in a deal estimated to be worth around $1.3 billion. However, in July of that year CEO Carlolyn McCall issued a statement to the stock market saying it was “no longer actively exploring the possible acquisition” of the production giant.

Both All3Media and ITV declined to comment on the reports.