Hulu weighs sale options after approach: source

Reuters News
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Posted: Jun 22, 2011 12:56 PM

NEW YORK (Reuters) - Online video site Hulu has been approached by a potential buyer and is weighing whether to sell itself, according to a person familiar with the matter.

The approach has caused the Hulu board to engage with the banking community in order to handle the approach from the "serious" buyer and any other potential offers, the person said.

Hulu is jointly owned by News Corp, Walt Disney Co, Comcast Corp's NBC Universal and private equity firm Providence Equity Partners.

The acquisition approach has not been made by any of the current equity holders, the person said. No decision has been made about whether the board is prepared to sell the company or not.

Hulu is best known for offering free online access to TV shows and movies from its strategic owners, but recently launched a paid subscription service as a way to expand its offering to include TV shows from other programing partners like Viacom.

A Hulu representative was not immediately available.

(Reporting by Yinka Adegoke; Editing by Tim Dobbyn)