Vivendi Succeeds, Will Buy Controlling Interest In Dailymotion For $214M

Vivendi says it will acquire an 80% stake in Dailymotion, the second-largest video site (but light years behind YouTube). It is not well known in the U.S. because it mainly prospers in Europe. Vivendi will pay $241 million U.S. to the French owners, Orange, according to a story Wednesday afternoon reported by Tech Crunch.

That Web site carries a lengthy press statement: "The integration within Vivendi offers Dailymotion the means to strongly accelerate its growth and continue its international expansion. It gives the company access to particularly attractive music and audiovisual content and allows for the joint development, together with the Universal Music Group and Canal+ Group teams, of original and distinctive content and formats meeting the expectations of a whole new generation of digital consumers.

This acquisition is at the core of Vivendi’s digital strategy. With Dailymotion, the UMG benefits from an over-the-top distribution platform of international stature and of a technological expertise which complements the UMG’s existing one.

Orange is keeping the remaining 20% of the company.

Vivendi has been in discussions with Orange since at least April of this year. Trying to keep Dailymotion a European-owned concern stymied a much-publicized attempt by Yahoo to acquire it in 2013.

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