BBC Worldwide and C4 deal imminent

A joint venture between BBC Worldwide and Channel 4 is on the verge of being signed, according to John Smith, chief executive of the BBC’s commercial arm.

Channel 4

The tie-up will help to plug a £150m funding gap Channel 4 will face from 2012.

Smith says the deal is likely to be inked within weeks and will see it take over parts of Channel 4’s divisions including advertising sales.

The news comes as BBC Worldwide yesterday (July 14) reported a 12.8% fall in operating profits to £102.6m in the 12 months to March 31.

It has been hit by the failure of Project Kangaroo and 2entertain, the DVD distribution joint venture with the now defunct Woolworths Group.

Smith says the figures reflect the £50m investment it has made in new initiatives last year, in spite of a severe economic downturn impacting all parts of the media industry.

The company did mange to see revenues rise 9.5% to £1.003.6bn from £916.3m.

During a media briefing in May, Channel 4 chief executive, Andy Duncan, said that discussions with BBC Worldwide were “going well” and that he remained “confident” of a positive outcome.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here