Hearst to Acquire Disney's 50% Stake in A+E for $1.2 Billion

Privately held media conglomerate Hearst has agreed to acquire The Walt Disney Company's 50% stake in A+E Global Media for approximately $1.2 billion in cash. The deal, announced Tuesday, will give Hearst full ownership of the television and content company, which was previously a 50-50 joint venture between the two media giants.

Deal Details

The transaction is expected to close in September, at which point A+E will become a wholly owned business within Hearst’s entertainment group, according to a company statement. The deal consolidates Hearst's control over a significant portfolio of cable television brands.

A+E Global Media operates several well-known channels, including:

• A&E
• The History Channel
• Lifetime
• LMN
• FYI
• Vice TV

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The network group reaches more than 414 million households across 200 territories, broadcasting in 40 languages.

Strategic Rationale

For Disney, the sale marks another step in its strategic realignment to prioritize its direct-to-consumer streaming services and its flagship ESPN sports network. The move comes as media companies re-evaluate their portfolios of traditional linear television assets amid the industry-wide decline in cable subscriptions.

Hearst, which also holds an 18% stake in ESPN, plans to continue developing A+E's content business. "We look forward to supporting Paul Buccieri and A+E Global Media’s leadership team as they continue to make must-see programs and innovate around the great History, Lifetime and A&E brands," said Hearst CEO Steven Swartz in a statement.