Home » Competition »Consumer News » Currently Reading:

MergerMania: Discovery Communications Considers Takeover of HGTV, Food Network

Phillip Dampier December 11, 2013 Competition, Consumer News No Comments

mergerThe trend towards cable consolidation is no longer just limited to cable operators. Now programmers are looking to strengthen their position in cable carriage negotiations by building “must-have” packages of cable programming that could mean smaller independent channels could eventually get locked out.

Bloomberg News reports the board of Discovery Communications, owner of the Discovery Channel, is discussing a possible bid for Scripps Networks Interactive, which runs channels including HGTV and the Food Network.

Scripps is one of the smaller network owners, but one that has proven popular and profitable. But it is not tied to a media conglomerate or the cable industry directly. Discovery has been a part of the cable television lineup for decades. Cable TV billionaire Dr. John Malone controls 29 percent of Discovery’s voting rights, giving him significant influence at the company.

A combined operation would control these networks:

discovery Discovery:

  • TLC
  • Animal Planet
  • Oprah Winfrey Network
  • Destination America
  • Investigation Discovery
  • Discovery Fit & Health
  • Discovery Science
  • Military Channel
  • Science
  • Velocity

240px-Scripps_Networks_Interactive.svgScripps:

  • HGTV
  • Food Network
  • DIY Network
  • Cooking Channel
  • Great American Country
  • Travel Channel

Some analysts suggest such a combination doesn’t make much sense for Discovery, which has been focused on expanding operations internationally.

But other bidders might surface for Scripps, reports Bloomberg, which may be a complementary business for 21st Century Fox, Time Warner or Viacom, said Eric Handler, an analyst at MKM Partners, in a research note.

Search This Site:

Contributions:

Recent Comments:

Your Account:

Stop the Cap!