AMC Networks has announced an agreement to buy a majority stake in RLJ Entertainment, a streaming-focused media company.
AMC, which invested $65 million in RLJ last year in exchange for a 25% stake in the company, will now buy another 27% of RLJ's shares for about $16 million, valuing the company at $60 million.
RLJ founder Robert Johnson will own all shares not controlled by AMC, assuming the company’s board of directors approves the deal.
RLJ Entertainment operates two niche streaming services: Acorn TV, which features British TV shows and movies, and Urban Movie Channel, which has programming geared toward African American and urban audiences.
In addition to its suite of cable channels, AMC owns a minority stake in Acorn competitor BritBox, and last year bought a minority stake in the streaming comedy site Funny or Die. It also operates dedicated streaming services Sundance Now, and Shudder.