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French Network TF1 Eyes €400M Sale of Production Arm
3 Aug
Summary
- TF1 is reportedly seeking a sale of its Studio TF1 production group.
- The business could be valued at approximately €400 million.
- This move aligns with a strategy to invest more in streaming services.
TF1, France's premier commercial television network, has reportedly initiated the sale process for its production-distribution subsidiary, Studio TF1. This move comes as the company, led by Rodolphe Belmer since 2023, seeks to reorient its investments towards streaming platforms. The business, formerly known as Newen, was acquired by TF1 in 2015 and has since grown into one of France's largest independent production entities.
Recent financial results indicate pressures on TF1, with a 9.9% revenue drop to €993 million in the first half of the year. Studio TF1 itself posted an operating loss of €4 million, attributed partly to fewer major deliveries to Netflix. The production group has been a significant producer of television programming, including popular French soaps, and has recently expanded into film production and theatrical distribution.
Under Belmer's leadership, TF1 is focusing on expanding its streaming presence, notably through the launch of its AVOD service, TF1+. The network also recently partnered with Netflix to carry its live channels and on-demand content. Concurrently, TF1 is rumored to be considering another bid for rival network M6, following a previous failed merger attempt in 2022.
This unbundling of production and broadcasting operations mirrors trends seen elsewhere in Europe, such as ITV in the UK, which is also divesting its media and entertainment arm while spinning off its production entity, ITV Studios.
