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Headline, Industry News
Specialty channel shifts as Corus buys Canadian Learning Television for $73M
Sunday March 09th 2008TORONTO — TV viewers were treated to another episode of “Specialty Channel Shuffle” on Friday as Corus Entertainment Inc. announced it’s buying Canadian Learning Television from CTVglobemedia for $73 million.
The analogue channel is expected to shift into the hands of Corus if the transaction receives approval from the Canadian Radio-television and Telecommunications Commission.
Corus CEO John Cassaday described Canadian Learning Television as “another great growth opportunity for Corus Entertainment.”
“We are convinced that with the access to over five million households that CLT currently enjoys, we have the know-how and experience to build on the success the network has achieved thus far,” Cassaday said in a statement.
CLT, a lower-profile specialty channel which launched in 1999, calls itself the “only national educational television specialty service” with programming “designed to challenge and inform, enrich and educate.”
Its current line-up includes reruns of the TV drama “The West Wing,” and numerous documentaries and independent films. Other programming is related to university courses.
CTVglobemedia gained ownership of the station through the $1.4-billion buyout of Chum Ltd. last year, which included 19 specialty channels such as MuchMusic, Bravo, Space and CP24.
The company, which also owns the CTV television network and Globe and Mail newspaper, then sold some of the assets acquired with Chum, including its 50 per cent interest in French-language themed music video stations MusiquePlus and MusiMax.
The CRTC also forced the company to shed five Citytv television stations which CTVglobemedia, sold to Rogers Communications Inc. (TSX:RCI.A) for $375 million, because they were in cities with competing CTV stations.
CTVglobemedia spokeswoman Bonnie Brownlee described the sale of CLT as “purely a business decision.”
“It was an asset that we had originally wanted to sell when we first bought Chum,” Brownlee said.
Corus Entertainment’s television assets include YTV, Treehouse, W Network and Movie Central.
The company should be able to strengthen its position by targeting the CLT channel towards women, suggested National Bank Financial analyst Adam Shine in a note.
“Adding some programming and positioning muscle behind CLT should help turn the service into a materially stronger franchise for Corus, as it successfully did with W (Network).”
Shine added that CLT runs a “very lean” operation of seven employees out of its headquarters in Edmonton. Corus has most of its broadcasting operations in Toronto.
Corus shares were down 41 cents to $19.53 on the Toronto Stock Exchange on Friday afternoon, with a 52-week high and low of $27.12. and $19.13.
Specialty channels have become a highly lucrative business for Canada’s media giants because they’re relatively cheap to run and they target specific audiences, which appeals to advertisers.
Last year, CanWest Global Communications had specialty channels on their mind when they paired with Wall Street investment firm Goldman Sachs for a $2.3 billion takeover of Alliance Atlantis Communications Inc.
The deal parted the company’s assets and gave CanWest 13 specialty names, some of which were top-rated cable stations, including Showcase and HGTV.
It also allowed CanWest to utilize its large catalogue of network programming, which airs on its Global stations, and potentially extend contracts for hit TV shows like “24” and “Lost” to the new channels.
Source: The Canadian Press
Headline, Industry News
Specialty channel shifts as Corus buys Canadian Learning Television for $73M
Sunday March 09th 2008TORONTO — TV viewers were treated to another episode of “Specialty Channel Shuffle” on Friday as Corus Entertainment Inc. announced it’s buying Canadian Learning Television from CTVglobemedia for $73 million.
The analogue channel is expected to shift into the hands of Corus if the transaction receives approval from the Canadian Radio-television and Telecommunications Commission.
Corus CEO John Cassaday described Canadian Learning Television as “another great growth opportunity for Corus Entertainment.”
“We are convinced that with the access to over five million households that CLT currently enjoys, we have the know-how and experience to build on the success the network has achieved thus far,” Cassaday said in a statement.
CLT, a lower-profile specialty channel which launched in 1999, calls itself the “only national educational television specialty service” with programming “designed to challenge and inform, enrich and educate.”
Its current line-up includes reruns of the TV drama “The West Wing,” and numerous documentaries and independent films. Other programming is related to university courses.
CTVglobemedia gained ownership of the station through the $1.4-billion buyout of Chum Ltd. last year, which included 19 specialty channels such as MuchMusic, Bravo, Space and CP24.
The company, which also owns the CTV television network and Globe and Mail newspaper, then sold some of the assets acquired with Chum, including its 50 per cent interest in French-language themed music video stations MusiquePlus and MusiMax.
The CRTC also forced the company to shed five Citytv television stations which CTVglobemedia, sold to Rogers Communications Inc. (TSX:RCI.A) for $375 million, because they were in cities with competing CTV stations.
CTVglobemedia spokeswoman Bonnie Brownlee described the sale of CLT as “purely a business decision.”
“It was an asset that we had originally wanted to sell when we first bought Chum,” Brownlee said.
Corus Entertainment’s television assets include YTV, Treehouse, W Network and Movie Central.
The company should be able to strengthen its position by targeting the CLT channel towards women, suggested National Bank Financial analyst Adam Shine in a note.
“Adding some programming and positioning muscle behind CLT should help turn the service into a materially stronger franchise for Corus, as it successfully did with W (Network).”
Shine added that CLT runs a “very lean” operation of seven employees out of its headquarters in Edmonton. Corus has most of its broadcasting operations in Toronto.
Corus shares were down 41 cents to $19.53 on the Toronto Stock Exchange on Friday afternoon, with a 52-week high and low of $27.12. and $19.13.
Specialty channels have become a highly lucrative business for Canada’s media giants because they’re relatively cheap to run and they target specific audiences, which appeals to advertisers.
Last year, CanWest Global Communications had specialty channels on their mind when they paired with Wall Street investment firm Goldman Sachs for a $2.3 billion takeover of Alliance Atlantis Communications Inc.
The deal parted the company’s assets and gave CanWest 13 specialty names, some of which were top-rated cable stations, including Showcase and HGTV.
It also allowed CanWest to utilize its large catalogue of network programming, which airs on its Global stations, and potentially extend contracts for hit TV shows like “24” and “Lost” to the new channels.
Source: The Canadian Press
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Headline, Industry News
Specialty channel shifts as Corus buys Canadian Learning Television for $73M
Sunday March 09th 2008TORONTO — TV viewers were treated to another episode of “Specialty Channel Shuffle” on Friday as Corus Entertainment Inc. announced it’s buying Canadian Learning Television from CTVglobemedia for $73 million.
The analogue channel is expected to shift into the hands of Corus if the transaction receives approval from the Canadian Radio-television and Telecommunications Commission.
Corus CEO John Cassaday described Canadian Learning Television as “another great growth opportunity for Corus Entertainment.”
“We are convinced that with the access to over five million households that CLT currently enjoys, we have the know-how and experience to build on the success the network has achieved thus far,” Cassaday said in a statement.
CLT, a lower-profile specialty channel which launched in 1999, calls itself the “only national educational television specialty service” with programming “designed to challenge and inform, enrich and educate.”
Its current line-up includes reruns of the TV drama “The West Wing,” and numerous documentaries and independent films. Other programming is related to university courses.
CTVglobemedia gained ownership of the station through the $1.4-billion buyout of Chum Ltd. last year, which included 19 specialty channels such as MuchMusic, Bravo, Space and CP24.
The company, which also owns the CTV television network and Globe and Mail newspaper, then sold some of the assets acquired with Chum, including its 50 per cent interest in French-language themed music video stations MusiquePlus and MusiMax.
The CRTC also forced the company to shed five Citytv television stations which CTVglobemedia, sold to Rogers Communications Inc. (TSX:RCI.A) for $375 million, because they were in cities with competing CTV stations.
CTVglobemedia spokeswoman Bonnie Brownlee described the sale of CLT as “purely a business decision.”
“It was an asset that we had originally wanted to sell when we first bought Chum,” Brownlee said.
Corus Entertainment’s television assets include YTV, Treehouse, W Network and Movie Central.
The company should be able to strengthen its position by targeting the CLT channel towards women, suggested National Bank Financial analyst Adam Shine in a note.
“Adding some programming and positioning muscle behind CLT should help turn the service into a materially stronger franchise for Corus, as it successfully did with W (Network).”
Shine added that CLT runs a “very lean” operation of seven employees out of its headquarters in Edmonton. Corus has most of its broadcasting operations in Toronto.
Corus shares were down 41 cents to $19.53 on the Toronto Stock Exchange on Friday afternoon, with a 52-week high and low of $27.12. and $19.13.
Specialty channels have become a highly lucrative business for Canada’s media giants because they’re relatively cheap to run and they target specific audiences, which appeals to advertisers.
Last year, CanWest Global Communications had specialty channels on their mind when they paired with Wall Street investment firm Goldman Sachs for a $2.3 billion takeover of Alliance Atlantis Communications Inc.
The deal parted the company’s assets and gave CanWest 13 specialty names, some of which were top-rated cable stations, including Showcase and HGTV.
It also allowed CanWest to utilize its large catalogue of network programming, which airs on its Global stations, and potentially extend contracts for hit TV shows like “24” and “Lost” to the new channels.
Source: The Canadian Press
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