Hulu taken off the block

Reuters News
Posted: Oct 13, 2011 7:59 PM

(Reuters) - The joint owners of Hulu, said they have decided against a sale of the popular online video service amid rumors that the bids received were lower than they were willing to accept.

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

"Our focus now rests solely on ensuring that our efforts as owners contribute in a meaningful way to the exciting future that lies ahead for Hulu," the owners said in a joint statement.

Reuters reported last month that the auction of online video site Hulu has been slowed due to conflicts over complicated digital rights, a wide bid-ask gap and the lack of commitment to sell by Hulu's owners, among other things.

This is the second time its owners have fashioned a full or partial exit strategy that has failed. After nearly six months of planning, the owners ditched an initial public offering last December to raise up to $300 million.

(Reporting by Swetha Gopinath in Bangalore)