Sky closes in on deal to buy ITV’s broadcast and streaming business as owner Comcast
Sky is closing in on a deal to buy ITV’s broadcast and streaming unit in a £1.6billion deal.
Lawyers are finalising a deal that would see ITV sell its media and entertainment arm to the Comcast-owned broadcaster, according to reports.
This would include its TV channels and the streaming service, ITVX.
It would not include ITV Studios, the production arm which makes most of the channel’s content including popular shows such as Coronation Street and Love Island.
An announcement on a deal could be made in the next two weeks.
Newly-agreed terms will include ITV buying The Great British Bake Off producer Love Productions from Sky.
Deal: ITV would keep hold of its production arm – which produces programmes such as Coronation Street and Love Island
The company, which also produces The Great British Sewing Bee, could be worth between £80million and £120million, sources close to the deal told Reuters.
It is thought Comcast wants to create a UK-focused streaming giant to compete with Netflix, Amazon and Disney.
The two firms are reportedly looking to structure the deal to include a payout of up to around £200million that will be based on future performance.
The update comes amid a flurry of overseas firms making bids for London listed-companies this summer.
EasyJet said on Thursday that it rejected a fourth bid from US investment group Castlelake.
Shares in ITV rose 3.6 per cent after the report. A deal has been long anticipated after ITV announced it was in discussions with Sky in November 2025.
The broadcaster is hoping to cash in on demand from advertisers during the World Cup this summer.
Lale Akoner, global market strategist at investing app Etoro, said: ‘The deal gives Comcast greater scale in UK broadcasting and ownership of ITVX, helping it capture more of the shift in advertising spend from linear TV to digital.
‘For ITV, the bigger message is that another UK-listed asset is seeing value unlocked by overseas capital rather than domestic markets.’
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