WarnerMedia, ViacomCBS In Talks Regarding Possible CW Network Sale
- by Karlene Lukovitz @KLmarketdaily, January 6, 2022
AT&T’s WarnerMedia and ViacomCBS, which jointly own the The CW Network, are exploring a possible sale of some or all of the network.
Although there are other interested companies, talks are “far along” with Nexstar Media Group, sources told The Wall Street Journal, adding that negotiations could still fail to result in a deal.
The most likely arrangement would be Nexstar gaining a controlling stake of the network, with CBS and WarnerMedia keeping minority stakes and securing agreements to be CW’s primary content providers, said the sources.
AT&T has been divesting “non-core” assets to reduce its debt load and fund expansion of its mobile/broadband and streaming businesses.
The CW is not profitable as a broadcast entity, but generates significant revenues through syndication of shows produced by Warner Bros., such as “RiverVale,” syndicated to Netflix, and CBS, such as “Walker.”
Nexstar, the largest U.S. broadcaster, owns many of the CW Network’s affiliates. It is engaged in an expansion push that has included investment in the fledgling NewsNational national cable network.
I think Nexstar will have a controlling interest in The CW and CBS & Warner Bros will remain to have content on The CW. What will be interesting is Nexstar will put The CW in markets where they don't have The CW if they will add it to a subchannel or a smaller channel next to the main channel. In West Michigan Nexstar doesn't own The CW as Sinclair does on WWMT .2 CW7 if that will move to WXSP which is MyNet TV.
The CW was one of the few that didn't sign on with UPN or The WB which WXSP was UPN the reason why they didn't get The CW was because of sports Pistons & Big 10 Basketball at the time. WZPX wasn't going to get it since The WB was on a 22-hour delay only thing that was in pattern was Kids WB/Daytime WB. I know no one cares LOL.