PHILADELPHIA, PA and FAIRFIELD, CT – Comcast and General Electric have confirmed their partnership in a new media and entertainment company which will see the cable giant own two nation-wide TV networks, plus local TV stations.
The joint venture will consist of the NBC Universal (NBCU) businesses and Comcast’s cable networks, regional sports networks and certain digital properties and certain unconsolidated investments. It will be 51% owned by Comcast, 49% owned by GE (which owns the majority of NBCU), and managed by Comcast.
Under the terms of the transaction, GE will contribute NBCU’s businesses valued at $30 billion, including its cable networks, filmed entertainment, televised entertainment, theme parks, and unconsolidated investments, subject to $9.1 billion in debt to third party lenders. Comcast will contribute its cable networks including E!, Versus and the Golf Channel, its ten regional sports networks, and certain digital media properties, collectively valued at $7.25 billion, and make a payment to GE of approximately $6.5 billion of cash subject to certain adjustments based on various events between signing and closing.
Jeff Zucker, current president and CEO of NBCU, will be CEO of the new joint venture and will report to Comcast Chief Operating Officer Steve Burke. The company’s board will have three directors nominated by Comcast and two nominated by GE. Headquarters for the business will remain in New York.
