Hearst to Take Full Control of A+E Global Media in $1.2 Billion Disney Deal
Hearst has agreed to buy Disney’s 50% stake in A+E Global Media for about $1.2 billion in cash, ending a decades-long partnership between the two media companies and giving Hearst full ownership of the group behind History, Lifetime and A&E.
The transaction is expected to close in September, subject to customary conditions. A+E Global Media will then become a wholly owned business within Hearst’s Entertainment group.
A+E Global Media operates television and digital brands including History, Lifetime, A&E, LMN and FYI, alongside production, licensing and international businesses.
Hearst CEO Steven R. Swartz said the company plans to continue supporting A+E’s management and its major television brands. Paul Buccieri is expected to remain president and chairman of A+E Global Media following the transaction.
For Disney, the sale removes another traditional television holding from its portfolio as the company concentrates more heavily on Disney+, Hulu, ESPN and its core entertainment businesses. Disney disclosed the A+E transaction alongside quarterly results that showed continued growth in its streaming operation.
The deal also comes during a wider reshaping of the television industry. Cable networks remain valuable brands, but declining pay-TV subscriptions have forced media companies to reconsider how those businesses fit alongside streaming services.
Hearst is taking the opposite route to Disney in this case. Rather than exiting A+E, it is consolidating ownership of the company and taking full responsibility for brands that still have significant recognition across television and international media.
The transaction has been formally announced, but it has not yet closed. September remains the expected completion period.
