https://www.reuters.com/article/rtl...l-to-focus-on-content-streaming-idUSL8N1VK1T7
RTL is out of the Running on the Endemol talks
RTL is out of the Running on the Endemol talks
* Prefers to focus on organic growth at Fremantle, small buys
* RTL’s streaming projects show rapid growth
* No rush to team up with ProSieben-Discovery’s German platform
* Second-quarter results top expectations, shares up 7 pct (Releads with CEO interview, share price reaction)
By Douglas Busvine
FRANKFURT, Aug 29 (Reuters) - European broadcaster RTL Group has withdrawn its interest in buying Dutch production company Endemol Shine to focus on developing its own scripted shows and expanding its new video-on-demand platforms.
The news came as RTL reported strong second-quarter revenue and core earnings, buoyed by its Fremantle studio arm and promising growth at its digital products that seek to fend off the challenge from global giants like Netflix.
RTL shares rose by 7 percent - all but erasing their losses this year - as revenues rose by 3.6 percent to 1.63 billion euros ($1.86 billion), topping even the highest forecast in a Reuters poll of analysts.
“On Endemol Shine, we stepped out of the process,” CEO Bert Habets said in an interview.
“At Fremantle, we focus on expanding our scripted output – and we are very successful in doing so. We aim to grow the business going forward in the scripted and unscripted domain by small- and medium-sized acquisitions.”
Co-owners Apollo Global and Twenty-First Century Fox put Endemol, creator of reality show ‘Big Brother’, up for sale in early July with a price tag of 2.5-3 billion euros. The sale process continues, a source close to one of the owners said this week.