Sky to buy ITV's broadcasting unit for up to £1.6 billion

business mergers & acquisitions

Sky, owned by US telecoms giant Comcast, has agreed to buy ITV's media and entertainment business for up to £1.6 billion ($2.1 billion). The deal brings together two of the United Kingdom's best-known media and entertainment businesses to create the UK's biggest commercial broadcaster.

The transaction includes ITV's free-to-air TV channels and the ITVX streaming platform. Sky will pay £1.2 billion in cash initially, with a potential further payment of up to £200 million in the second half of 2028, depending on 2027 advertising revenues.

As part of the agreement, ITV will spin off ITV Studios into a separate London-listed business, leaving the seller as a pure production business. All of ITV’s public service commitments will be maintained under the deal.

The deal, which has been under discussion since at least last November, aims to create a strong rival and major new competitor to global streaming giants. Sky CEO Dana Strong described the acquisition as a "defining moment" in British broadcasting.

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