Hulu auction yields several bidders but no buyer

An auction for Hulu has yielded offers from a variety of bidders including DirecTV (Nasdaq: DTV), Time Warner Cable (NYSE: TWC), the Chernin Group, KKR & Co. and Yahoo as well as a joint bid from Silver Lake Management and William Morris Endeavor Entertainment, according to reports in Bloomberg, Reuters and the Wall Street Journal.

The site, owned by Walt Disney Co. (NYSE: DIS), News Corp. (Nasdaq: NWSA) and Comcast (Nasdaq: CMCSA), has fetched bids as high as $830 million, according to a source familiar with the bidding. The auction process is expected to play out over coming weeks as bidders try to hammer out terms.

There's no guarantee they'll reach a deal. Hulu last tested the M&A market in 2011 and ended its sale process without finding a buyer. At the time, the company said the site was a unique and compelling strategic asset for each of its owners. The highest bid in that auction was said to be $1.9 billion.

This time around, the bids appear to be coming in even lower, but some buyers are reportedly open to purchasing a minority stake in the company.

For more:
- Bloomberg had this report
- the Wall Street Journal had this story (sub. req.)
- Reuters had this story

Related articles:
Owners pull plug on Hulu sale
Hulu said to attract pay-TV distributors
Hulu Plus claims 4 million subscribers

Suggested Articles

A common trope maintains that the words “Apple” and “less expensive” don’t belong in the same sentence. But the company could benefit from putting a cheaper…

Dish Network has hired Kannan Alagappan, who previously served as chief technology officer and head of technology for Australian telco Telstra, as its new CTO.

HBO Max, the upcoming subscription streaming service from WarnerMedia, has filled out the rest of its executive team in charge of original programming.