As Hulu owners Walt Disney Co., News Corp. and Comcast close in on a buyout of the stake held by Providence Equity Partners, the online streaming company’s valuation is closing in on $2 billion, Bloomberg reports.
Providence is selling the 10% stake for about $200 million, or double its initial $100 million investment when Hulu started in 2007, the piece adds, citing sources familiar with the situation but not authorized to comment officially.
Disney, News Corp. and Comcast’s NBC Universal each own about 27% of the service, while employees own another 10%. The company is also planning to let employees, including CEO Jason Kilar, sell shares, the piece adds.
Comcast hasn’t been involved in the Providence talks, which makes its role in the purchase more complicated, the story says. Representatives from Hulu and Providence declined to comment.
The ownership expansion by the major owners comes after Hulu’s owners last year canceled a sale of the service and after they previously shelved plans for an initial public offering, the story notes.