This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
Digital
Vevo on the market
By Andy Malt | Published on Wednesday 30 July 2014
Hey, it’s been a few months since we had any sort of speculation about Vevo being up for sale now. But don’t worry, it’s back.
According to The Information, Vevo’s co-owners Universal and Sony having hired Goldman Sachs back in April to come up with a plan for the future of the company, the bankers are now in early talks with potential buyers. Initial hopes were, reportedly, that a new minority investor could be found to inject some cash, like current partners Abu Dhabi Media and Google, but that having failed suitors are now being courted to take control of the company.
Re/code reports that a valuation of between $700 million and $1 billion is being thrown around. Though with the company currently not turning a profit, despite revenues in the hundreds of millions, the bankers are reportedly trying to convince Universal and Sony to reduce the cut of ad revenue they take as content providers to give any new investor a higher chance of making a return on their investment.
Names suggested as possible buyers include DreamWorks, which already put in a bid earlier this year, Yahoo! and Amazon. Google has also been suggested as potentially being interested in taking full control of the company – though it seems unlikely that Sony and Universal would agreed to that.
