By Leo Marchanden
March 3 (Reuters) – Banjay Group and All3 Media, owned by investment firm Redbird IMI, have agreed to combine their entertainment production businesses to create Europe’s largest multimedia production group, the companies said on Tuesday.
Benji is a producer of TV dramas “Picky Blinders” and “Big Brother” franchises, while All 3 Media productions include “The Traitors” and “Squid Game: The Challenge.”
The companies said the combined company will generate combined pro forma revenue of more than 4.4 billion euros in 2024.
“In this industry, size is very important, and with the development of artificial intelligence, the ownership and exploitation of intellectual property is becoming a very important factor,” said Benjai CEO Francois Riahi in a press call to explain the reason for the merger.
The deal will strengthen Benjai’s leading position in global content, he said, and will position it well as the streaming market strengthens, led by Warner Bros. Discovery being bought by Paramount’s Skydance last month.
“Scale is a very important factor for growth,” he said, noting that Paramount winning the race to buy Warner Bros. was a good result for Benjai because it would create a stronger competitor for Netflix.< NFLX.O>.
“We’re already the number one provider for global streaming platforms, but streamers are growing and we’re growing with this deal, and we’re staying very relevant,” he said.
* The transaction is expected to be completed in the fall of 2026. * Benjai CEO Marco Bassetti heads the company. * RedBird IMI will transfer all its shares in all 3 media to the new joint entity. * Both parties will own 50% of the joint venture, which will retain the Benji name. * The transaction results in total cash borrowings of BanijayGroup of 796 million euros, including a payment of 625 million euros by RedBird IMI. * The transaction is expected to deliver cost synergies of approximately 50 million euros in the 12 months following the closing of the transaction * Between them, Banjai and All3 Media control a slate of globally recognized titles, including “Keeping Up with the Kardashians” and “MasterChef.”
(Reporting by Leo Marchanden in Gdansk and Paul Sandle in London; Editing by Susan Fenton and Nick Ziminski)
