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AT&T Buys Out Crunchyroll's Otter Media
posted on by Alex Mateo
AT&T announced on Tuesday that it has acquired all of Otter Media, the joint venture it previously co-owned with The Chernin Group. Otter Media is the digital holding company that operates Crunchyroll's parent company Ellation, among other video services.
AT&T plans to fold the subscription, advertising and content company into WarnerMedia, the new content company created after AT&T's acquisition of Time Warner in June. Otter Media CEO Tony Goncalves will continue to run the company.
Technology news website Recode had reported on June 20 that AT&T had plans to buy all of Otter Media in a deal that was expected to close this summer. Digital media news website Digiday also reported in November that AT&T had plans to make a deal for Otter Media. The website cited multiple unnamed sources within AT&T and Otter Media. Recode noted that sources familiar with the companies' plans have reported that the deal has been in the works for a few years, but was on hold due to AT&T's acquisition of Time Warner.
The Chernin Group acquired a majority stake in Crunchyroll in December 2013. The Chernin Group and AT&T formed the joint venture Otter Media in 2014, and Otter Media invested another US$22 million in Crunchyroll's parent company Ellation in November 2015.
Source: Press Release, Deadline Hollywood (Patrick Hipes)
