Amazon is on the verge of shopping for MGM Studios for almost $ 9 billion
Amazon is on the verge of buying MGM Studios, the co-owner of the James Bond franchise and other television and film franchises, for $ 8.5 billion to $ 9 billion, according to those familiar with the matter. The deal is expected to be announced on Tuesday.
The Wall Street Journal reported earlier Monday that the deal could be announced this week.
A deal could be announced this week, said the person who asked not to be named because the talks are private. This would be Amazon’s largest acquisition since purchasing Whole Foods in 2017 for $ 13.7 billion.
Amazon is keen to get more TV and movie content for its Prime Video service as it competes with Netflix, Disney, and other streaming video services. MGM is a natural addition to any streaming service because of its abundance of content.
MGM, a private company, has been looking for a buyer for several years. Owners include Anchorage Capital, Highland Capital Partners, Davidson, Kempner Capital Management, Solus Alternative Asset Management and Owl Creek Investments – funds that took control of the studio when it went bankrupt in 2010.
MGM owns a number of famous film and television franchises including Rocky, Legal Blonde, The Pink Panther, and Stargate. It also has a studio that has produced more recent TV hits like “The Handmaind’s Tale” and “Fargo”.
MGM also owns a number of popular reality television shows, including Shark Tank, Survivor, The Real Housewives, and The Voice.
MGM also owns Epix, a premium pay-TV service valued at approximately $ 1.3 billion in 2017.
MGM and Amazon representatives were not immediately available to comment.