Byron Allen, the media mogul and founder of Allen Media Group, has offered $10 billion to purchase ABC television network from the Walt Disney Co. The bid also includes the cable networks FX and National Geographic. The offer, which is still preliminary and subject to change, is based on an estimation that the networks earned $1.25 billion in the past year.
This offer comes as Disney faces financial pressures due to the loss-making nature of its streaming business. Disney’s streaming unit has lost over $11 billion since the launch of Disney+ in 2019, with a reported loss of $512 million in the most recent quarter alone.
Disney CEO Bob Iger had previously expressed openness to selling some of the company’s television assets as consumers increasingly turn to streaming networks. The company has been in talks with potential buyers, including local broadcaster Nexstar.
Byron Allen is no stranger to the media business. He entered the industry in the 1990s after a successful career as a stand-up comedian and talk show host. He founded CF Entertainment, later renamed Entertainment Studios, which has become a media empire worth approximately $1 billion through acquisitions.
Allen made headlines last year when he attempted to buy the Denver Broncos, aiming to become the first Black majority owner of an NFL franchise. However, he was outbid in the end.
The potential acquisition of ABC and the other networks would represent another significant move in Allen’s career, solidifying his position as a major player in the media industry. It remains to be seen whether Disney will accept the $10 billion offer or explore other options.