Sky agrees £1.6bn deal to acquire ITV media arm

• Sky (owned by Comcast) agreed to acquire ITV’s media and entertainment arm for up to £1.6 billion.
• The deal combines ITV’s TV channels and streaming service with Sky’s broadband and media operations.
• The companies expect about £200 million in annual cost savings within three years after completion.

Sky, the UK-based television and telecom provider owned by Comcast (NASDAQ:CMCSA), has agreed to acquire ITV’s media and entertainment division in a deal valued at up to £1.6 billion.

The transaction includes £1.2 billion in cash, the transfer of Love Productions, and up to £200 million in performance-related payments.

ITV’s production business, ITV Studios, will remain independent and is not part of the transaction.

The companies said the combined group would integrate free-to-air TV, advertising-funded streaming, subscription television, broadband, and mobile services.

The deal is expected to generate around £200 million in annual cost savings within three years after closing, driven by operational and technology efficiencies.

The combined Sky–ITV entity will sit within NBCUniversal after Comcast completes its structural separation plan.

ITV News and Sky News will remain editorially independent despite the broader corporate integration.