eng51squad51
11-04-2002, 03:35 PM
from mediaweek.com
NBC Acquires the Bravo Channel
Reaching a deal that had been rumored for weeks, NBC has come to terms
with Cablevision Systems Corp. to acquire Bravo, the film and arts cable
network, for $1.25 billion, according to John Consoli.
The proceeds of the sale will be split by Cablevision, which owns 80
percent of Bravo, and Metro-Goldwyn Mayer, which owns 20 percent. Bravo
has a distribution of 68 million households.
The addition of Bravo means NBC now has three national cable properties --
news channels MSNBC and CNBC, in addition to Bravo. NBC also has minority
stakes in ValueVision, which it operates as Shop NBC, the A&E Network, and
the History Channel. Bravo is its first cable entertainment outlet.
Financially troubled Cablevision will use the money to reduce its debt.
Cablevision will also reduce the number of its outstanding shares of
common stock from 333 million to about 280 million.
NBC president Andrew Lack said the network plans to share programming and
resources with Bravo. It gives NBC a platform for its NBC Studios and NBC
Enterprises to develop cross-over projects for both original scripted
programming and reality shows. NBC could air some Bravo-developed projects
and Bravo could be used for additional NBC sports programming. Bravo can
also be used to air repurposed NBC primetime programming to try to reach a
broader audience.
NBC Acquires the Bravo Channel
Reaching a deal that had been rumored for weeks, NBC has come to terms
with Cablevision Systems Corp. to acquire Bravo, the film and arts cable
network, for $1.25 billion, according to John Consoli.
The proceeds of the sale will be split by Cablevision, which owns 80
percent of Bravo, and Metro-Goldwyn Mayer, which owns 20 percent. Bravo
has a distribution of 68 million households.
The addition of Bravo means NBC now has three national cable properties --
news channels MSNBC and CNBC, in addition to Bravo. NBC also has minority
stakes in ValueVision, which it operates as Shop NBC, the A&E Network, and
the History Channel. Bravo is its first cable entertainment outlet.
Financially troubled Cablevision will use the money to reduce its debt.
Cablevision will also reduce the number of its outstanding shares of
common stock from 333 million to about 280 million.
NBC president Andrew Lack said the network plans to share programming and
resources with Bravo. It gives NBC a platform for its NBC Studios and NBC
Enterprises to develop cross-over projects for both original scripted
programming and reality shows. NBC could air some Bravo-developed projects
and Bravo could be used for additional NBC sports programming. Bravo can
also be used to air repurposed NBC primetime programming to try to reach a
broader audience.