New Delhi: Amazon and MGM have introduced that they’ve entered into a definitive merger settlement below which Amazon will purchase MGM for a buy worth of $8.45 billion.
“MGM has nearly a century of filmmaking history and complements the work of Amazon Studios, which has primarily focused on producing TV show programming. Amazon will help preserve MGM’s heritage and catalog of films, and provide customers with greater access to these existing works. Through this acquisition, Amazon would empower MGM to continue to do what they do best: great storytelling,” a firm assertion mentioned.
“It has been an honor to have been a part of the incredible transformation of Metro Goldwyn Mayer. To get here took immensely talented people with a true belief in one vision. On behalf of the Board, I would like to thank the MGM team who have helped us arrive at this historic day,” mentioned Kevin Ulrich, Chairman of the Board of Directors of MGM.
“I am very proud that MGM’s Lion, which has long evoked the Golden Age of Hollywood, will continue its storied history, and the idea born from the creation of United Artists lives on in a way the founders originally intended, driven by the talent and their vision. The opportunity to align MGM’s storied history with Amazon is an inspiring combination,” he added.
Completion of this transaction is topic to regulatory approvals and different customary closing situations.
The acquisition is Amazon’s second-biggest after Whole Foods Market, which it purchased for $13.7 billion in 2017, mentioned a Reuters report. At nearly $9 billion, the lofty worth is about 37 occasions MGM’s 2021 estimated EBITDA – or nearly triple the enterprise value-to-EBITDA a number of that Discovery’s deal implied for AT&T’s content material property, in response to Reuters Breakingviews.
With Agency Inputs
