Disney, Hearst exploring sale of A+E Global Media

Hearst and Disney are exploring a sale of their joint venture, A+E Global Media, as the media industry continues to look for ways to separate linear cable properties.

The company, which a 50-50 partnership between the two parent companies, owns some of the most iconic names in cable history — including A&E, History Channel and Lifetime. It also claims FYI, Military History, Lifetime Movie Network, LMR, Biography, Crime+Investigation and History en Español as members of its portfolio.

While several of these networks were staples of cable lineups for years, consumer interest in streaming has dulled the networks’ appeal, a trend that is affecting many other channels as well.

A+E and its owners will work with a team at Wells Fargo to explore a potential sale of the networks, though no specific transaction or timeline has been announced.

The move has similarities to Comcast’s upcoming spinoff of most of its cable assets into Versant as well as Warner Bros. Discovery’s recent announcement that it will sell off linear cable networks, which include legacy cable powerhouses such as HGTV, Food Network and Discovery Channel.

Although each of these deals have subtle differences, it is clear that they are being driven by shrinking audiences for linear cable in favor of streaming. 

A+E offers three separate streaming services: A&E Crime Central, Lifetime Movie Club and History Vault, which are lower-priced options that can also be bundled for $9.99 a month. The company does not regularly release specific subscriber counts for the services.

Combined, the three services mainly focus on true crime, selections from the famous Lifetime movie library and a mix of history-focused content, documentaries and unscripted series, which means it is significantly more niche than mainstream offerings.

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