Dalian Wanda Group has acquired a 100% stake in Dick Clark Productions, Inc. (DCP) for approximately $1Bn. The transaction allows Wanda’s entry , into the television production industry.
After the acquisition is completed, DCP’s management team will remain in the company. Wanda has signed a long-term operation target agreement with them.
The acquisition of DCP marks Wanda’s first step into the television contents business, occupying the highest-end global TV program resources from the start. the transaction provides Wanda for a complementary and coordinated development, as the Chinese group now focuses on the film, tourism, and sports industries.
Established in 1957, DCP is a well-known American TV production company possessing over 20 famous TV rights, including the Golden Globe Awards, the American Music Awards, the Billboard Music Awards, the Academy of Country Music Awards, and the New Year’s countdown celebrations in New York. The majority of the rights that DCP possesses are for an indefinite period. The company’s primary revenue stems from the broadcasting rights of these ceremonies, and it has long-term agreements with all the major TV stations. DCP has abundant cash flow with a high level of operation stability and steady profit growth. As broadcast right fees for art and sports programs increase in the U.S., DCP will further improve its performance and company values.
Image over the headline.- Dick Clark Productions’ headquarter in Santa Monica. © Dick Clark.
