Otter Media, a joint venture between telecom giant AT&T Inc and The Chernin Group, has agreed to purchase a majority stake in Fullscreen, one of the largest networks on YouTube, the companies announced on Monday. The deal values Fullscreen at between $200 million and $300 million, a person with knowledge of the transaction said. Fullscreen founder and Chief Executive George Strompolos will remain CEO and keep an ownership stake in the company.The purchase is the latest move by major media players to tap into the large and fast-growing audience on Google Inc's YouTube. Walt Disney Co acquired Maker Studios in April for up to $950 million.Fullscreen, Maker Studios and other multichannel networks recruit online video creators and offer help with production, ad sales and other services to increase their viewership and revenue. Fullscreen's stars, which include The Fine Brothers, Lohanthony and Devin Supertramp, generate 4 billion video views per month."The scale they have is a big differentiator," said Jesse Jacobs, president of The Chernin Group, which is led by media entrepreneur and former News Corp president Peter Chernin. The growth of online video consumption "is only going to accelerate," Chernin said.
The Walt Disney Company, together with its subsidiaries, is a diversified worldwide entertainment company. Shares of DIS fell by 1.33% or $-1.2/share to $89.29. In the past year, the shares have traded as low as $63.10 and as high as $91.20. On average, 5815400 shares of DIS exchange hands on a given day and today's volume is recorded at 3404630.
News Corporation is a diversified media and information services company. Shares of NWSA fell by 0.81% or $-0.14/share to $17.08. In the past year, the shares have traded as low as $15.44 and as high as $18.53. On average, 3340050 shares of NWSA exchange hands on a given day and today's volume is recorded at 1677659.
AT&T Inc. (AT&T), is a holding company. The Company is a provider of telecommunications services. Shares of T fell by 0.03% or $-0.01/share to $35.46. In the past year, the shares have traded as low as $31.74 and as high as $37.48. On average, 19692900 shares of T exchange hands on a given day and today's volume is recorded at 10325122.
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