Sweden-based European TV giant MTG has acquired a 51 percent stake in multichannel network Zoomin.TV.
The deal with founders Jan Riemens and Bram Bloemberg, who will continue to lead the business, values the company at $95 million (€88 million).
The deal follows MTG’s previous investments in e-sports powerhouse ESL and Splay, a Scandinavian MCN over the last few weeks. The company said Monday that the deal reflects “MTG’s strategy to invest in relevant, complementary and scalable digital brands, content and communities.”
Zoomin says it is the fifth-largest MCN in the world and Europe’s largest with more than 2 billion monthly video views and 100 million subscribers worldwide on YouTube. Zoomin also has a network of 2,000 publishers, including Yahoo and AOL. Zoomin has recorded 36 percent average sales growth over the past five years and 70 percent growth in 2014, the companies said.
Zoomin was founded in 2002 in Amsterdam and also has offices in London; Brussels; Paris; Dusseldorf; Hamburg, Germany; Madrid; Barcelona, Spain; Milan; Miami; Los Angeles; Mexico City; Sao Paulo; Montevideo, Uruguay; and Kerala, India.
Online gaming is one of Zoomin’s key verticals, and Zoomin will work closely with ESL and other units of MTG to drive viewership and monetization rates. “At the same time, Splay will leverage Zoomin’s global distribution network to promote its web talents, while in turn providing best-in-class influencer marketing tools to Zoomin and its publisher network,” MTG said.
“This combination of global web talent and content, massive reach amongst millennials, and proven monetization capabilities confirms our position as a leading player in the global online video entertainment space,” said Jorgen Madsen Lindemann, MTG’s president and CEO. “It is now clear that we are creating an online video eco-system that is fully prepared to capitalize on the next steps in the evolution of social video.”