Providence sale values Hulu at $2bn
April 27, 2012
One of the founding shareholders of Hulu, Providence Equity Partners, is reportedly selling its stake. Providence put about $100 million in to Hulu five years ago, joining NBCUniversal and News Corp in the joint venture. The private equity firm expects to double its money, selling its 10 per cent stake for $200 million, which would value Hulu at $2 billion.
Walt Disney, which invested in Hulu in 2009, and News Corp are likely to split Providence’s stake, gaining more control of the site. Comcast, which acquired NBCUniversal last year, is not an active participant in the discussion. With the acquisition of NBC, it gave up the right to participate.
Just seven months ago, Hulu’s owners pulled back from an IPO and consideration of a trade sale saying there was much more to come from the business in the near term.