VCNI to buy Chilevisión
April 6, 2021
In a move that will complement its portfolio in the Southern Cone of Latin America, ViacomCBS Networks International (VCNI) has agreed to acquire Chilean free-to-air television channel Chilevisión from WarnerMedia.
Through the transaction, VCNI further expands its footprint in Latin America and bolsters its streaming business with a new premium content library and pipeline to fuel the increasing demand for Spanish language content across platforms, including Paramount+ and Pluto TV. According to VCNI, the acquisition will benefit consumers and partners by offering even more diverse entertainment options across premium, pay and free platforms.
The deal creates an aligned commercial, content and distribution strategy in the Southern Cone of Latin America. The acquisition will include Chilevisión’s free-to-air television network, which will complement VCNI’s global content offering. Chilevisión attracted approximately 24 per cent share of viewership in 2020.
Chilevisión’s library is comprised of substantial content spanning multiple genres including sports, entertainment, and news, and it has vast production capabilities. These attributes, in combination with Chilevisión network’s reach, and a windowing strategy of its content pipeline through free, paid, and premium, will serve as a valuable marketing vehicle for VCNI’s streaming platforms in the region, and expand VCNI’s studio and linear presence in the region.
“Latin America is one of the world’s fastest-growing streaming markets, and Chilevisión will be a key driver of our accelerated streaming strategy in the region,” said Raffaele Annecchino, President and CEO, ViacomCBS Networks International. “Chilevisión is an extraordinary addition to our existing business in Latin America and will fortify ViacomCBS’s position as a premier Spanish language content producer.”
Chilevisión will fall under the leadership of Juan ‘JC’ Acosta, President of ViacomCBS International Studios and Networks Americas. The acquisition joins the ViacomCBS Americas portfolio, which includes the premium SVoD service, Paramount+; AVoD service Pluto TV; Nickelodeon’s interactive learning service for pre-schoolers, Noggin; ViacomCBS International Studios production hub; FTA broadcaster Telefe; more than 10 branded pay-TV networks, including MTV, Nickelodeon, Nick Jr and Comedy Central, among others; multiple on-the-ground events and experiences; and an extensive consumer products catalogue. VCNI Americas has offices in Canada, Mexico, Brazil, Argentina and Colombia.
The purchase price of the acquisition will be financed by ViacomCBS’s existing cash balances. The transaction is subject to customary regulatory approvals and closing conditions. Financial terms of the transaction were not disclosed.