Paramount Global recently annouced that it is considering selling the majority of stake to BET Media Group ran by CEO Scott Mills. The Group consists of BET cable network and studio, VH1, and the streaming service BET+.
In a report from the Wall Street Journal, the decision to consider selling a majority stake of the assets, which cater primarily to Black audiences, is part of the entertainment giant’s effort to shore up resources to bolster its flagship Paramount+ streaming service and its advertiser-supported free streaming platform Pluto TV.
According to THR, Paramount management’s focus is on replicating the success in the film division and making the direct-to-consumer streaming division profitable as the entertainment studio saw its biggest year-to-year percentage change in profit. The hits included Sonic the Hedgehog 2 ($406 million) and Smile ($217 million). And then there is Maverick ($1.5 billion). The Tom Cruise film also garnered more than $280 million in global consumer spend across 23 million home entertainment transactions.
The filmed entertainment unit, which also includes Nickelodeon Studios, saw its biggest revenue source, “licensing and other,” climb 1 percent to $2.5 billion, again driven by Maverick. At the same time, its expenses rose 38 percent to more than $3.4 billion amid higher content and distribution costs tied to the revenue increase. The result was a more than 30 percent improvement in its bottom line, with a caveat that this was “partially offset by lower profits from the licensing of library titles,” given it sold Coming 2 America and Tom Clancy’s Without Remorse to Amazon in the depths of the pandemic.
Paramount Global is experiencing hardships and gambles; it must participate and compete in the ever-changing landscape of media conglomerates. The company has experienced declining subscribers as it lost $575 million in the last quarter.
“Our content and platform strategy is working, and with even more exceptional content coming this year, we expect to return the company to earnings growth in 2024,” said CEO Bob Bakish.
As the race continues to determine the possible winning investor of BET Media Group, here are the contenders for the potential company purchase.
Tyler Perry
Paramount Global recently annouced that it is considering selling the majority of stake to BET Media Group ran by CEO Scott Mills. The Group consists of BET cable network and studio, VH1, and the streaming service BET+. In a report from the Wall Street Journal, the decision to consider selling a majority stake of the assets, which cater primarily to Black audiences, is part of the entertainment giant’s effort to shore up resources to bolster its flagship Paramount+ streaming service and its advertiser-supported free streaming platform Pluto TV. According to THR, Paramount management’s focus is on replicating the success in the film division and making the direct-to-consumer streaming division profitable as the entertainment studio saw its biggest year-to-year percentage change in profit. The hits included Sonic the Hedgehog 2 ($406 million) and Smile ($217 million). And then there is Maverick ($1.5 billion). The Tom Cruise film also garnered more than $280 million in global consumer spend across 23 million home entertainment transactions. The filmed entertainment unit, which also includes Nickelodeon Studios, saw its biggest revenue source, “licensing and other,” climb 1 percent to $2.5 billion, again driven by Maverick. At the same time, its expenses rose 38 percent to more than $3.4 billion amid higher content and distribution costs tied to the revenue increase. The result was a more than 30 percent improvement in its bottom line, with a caveat that this was “partially offset by lower profits from the licensing of library titles,” given it sold Coming 2 America and Tom Clancy’s Without Remorse to Amazon in the depths of the pandemic. Paramount Global is experiencing hardships and gambles; it must participate and compete in the ever-changing landscape of media conglomerates. The company has experienced declining subscribers as it lost $575 million in the last quarter.“Our content and platform strategy is working, and with even more exceptional content coming this year, we expect to return the company to earnings growth in 2024,” said CEO Bob Bakish. As the race continues to determine the possible winning investor of BET Media Group, here are the contenders for the potential company purchase.Tyler PerryPerry is known for dozens of movies and television series, such as the “Madea” movie franchise and shows like Sistas and Meet the Browns. According to the Wall Street Journal, Perry and Paramount have had a well-established relationship. With his production studio, he has an overall deal to create shows for Paramount and has a minority stake in Paramount’s BET+ streaming service.Byron AllenHe is a media entrepreneur who owns media assets such as The Weather Channel and several local television stations like TheGrio, HBCU Go and Local Now. He recently acquired the Black News Channel for $11 million. For Allen, the media expansion of his cable business is the goal to add to his portfolio.Group BlackAccording to the New York Times, Group Black, a media company in Miami run by Black executives Travis Montaque, Bonin Bough and Richelieu Dennis, has expressed interest in a bid with CVC Capital Partners. To round out the bid, Montaque, the chief executive, has reached out to prominent Black business owners and artists to team up.Sean ‘Diddy’ CombsA source close to Combs tells Variety that he is exploring the opportunity to purchase BET as a part of his strategy to build a Black-owned global media powerhouse. Combs currently owns the media company REVOLT that he launched in 2013, which serves as a content hub for media platforms such as REVOLT TV, Revolt.tv and podcasts starring City Girls rapper Yung Miami and Hollywood Unlocked founder Jason Lee. Though he is entering the race, he is not yet considered to be in talks with Paramount to purchase a majority stake. In a comment, posted 3 days ago on the shade room’s instagram page, Diddy said “ME, TYLER, ISSA RAY, SHONDA RHIMES to name a few. We should all unite for the greater good! Its about time for black folk to start doing business together. From me to WE!!! Love the time is now!!!!”Is it time for black entertainers to seize the reins from corporate types and run a united front as it relates to black entertainment?Tell me what you think?
Perry is known for dozens of movies and television series, such as the “Madea” movie franchise and shows like Sistas and Meet the Browns. According to the Wall Street Journal, Perry and Paramount have had a well-established relationship. With his production studio, he has an overall deal to create shows for Paramount and has a minority stake in Paramount’s BET+ streaming service.
Byron Allen
He is a media entrepreneur who owns media assets such as The Weather Channel and several local television stations like TheGrio, HBCU Go and Local Now. He recently acquired the Black News Channel for $11 million. For Allen, the media expansion of his cable business is the goal to add to his portfolio.
Group Black
According to the New York Times, Group Black, a media company in Miami run by Black executives Travis Montaque, Bonin Bough and Richelieu Dennis, has expressed interest in a bid with CVC Capital Partners. To round out the bid, Montaque, the chief executive, has reached out to prominent Black business owners and artists to team up.
Sean ‘Diddy’ Combs
