Comcast Sells Sky Deutschland to RTL as Media Deals Pick Up in Europe -- Update
CMCSA
Published on 06/27/2025 at 07:23
By Najat Kantouar and Adria Calatayud
Comcast is selling its Sky Deutschland unit to Bertelsmann's RTL Group for up to $617 million, as the wave of dealmaking that is reshaping the U.S. television sector crosses the pond.
Media companies on both sides of the Atlantic are trying to adapt to the rise of streaming platforms, which has intensified competition for consumers' watching time and advertisers' spending. In response, legacy companies are shaking up their portfolios and pursuing a series of deals that promises to reshape the media landscape.
The latest deal is set to transfer the businesses of Comcast-owned Sky in Germany, Austria, Switzerland to RTL, part of German media group Bertelsmann. Shares in RTL jumped as much as 17% in European morning trading Friday on news of the deal, the biggest acquisition in the company's history.
RTL agreed to pay up to 527 million euros ($616.8 million) for TV operator Sky Deutschland, with an upfront sum of 150 million euros and additional payments capped at 377 million euros linked to its share performance, the companies said.
The sale of Sky Deutschland comes as Comcast nears completion of a spinoff of NBCUniversal cable networks in the U.S.
RTL has done some portfolio reshuffling of its own lately. The company agreed to sell its Dutch unit RTL Nederland to DPG Media for 1.1 billion euros, a deal that is due to be closed next week after the Netherlands' antitrust authorities cleared it, RTL said Friday.
The acquisition of Sky Deutschland will allow RTL to add prized sports rights to its entertainment and news operations, strengthening its presence in Germany, the companies said. The deal is set to create a business with around 11.5 million paying subscribers and combined annual revenue of 8.2 billion euros, they added.
For RTL parent Bertelsmann, Germany will become its largest market after the deal is completed, it said. The group, which also owns publisher Penguin Random House and has been investing to expand its digital portfolio and boost growth, generated roughly the same revenue from Germany and the U.S. last year.
"At the same time, this acquisition is a step on the path toward strengthening European media markets--an absolute necessity in the competition with global tech and streaming platforms," said Thomas Rabe, chief executive of both Bertelsmann and RTL.
The deal comes at a time another German TV company, ProSiebenSat.1 Media, has become the target of a bidding war between its two top shareholders, MFE-MediaForEurope and Czech investment conglomerate PPF.
Some attempts to consolidate Europe's TV industry in recent years hit antitrust roadblocks. French broadcasters Television Francaise 1 and RTL-controlled M6-Metropole Television abandoned a merger plan in 2022 after the country's competition authority raised concerns about the deal.
RTL and Sky said both businesses would continue to operate independently until they obtain regulatory approvals, which are expected in 2026.
The transaction is expected to generate 250 million euros in annual synergies within three years.
Write to Najat Kantouar at [email protected] and Adria Calatayud at [email protected]
(END) Dow Jones Newswires
06-27-25 0722ET