RTL Group to sell Netherlands business incl Videoland to VTM owner DPG Media in $1.2bn deal

Thomas Rabe

European media giant RTL Group is selling its Netherlands-based operation, including streamer Videoland, to VTM owner DPG Media, in a €1.1bn ($1.2bn) deal.

The sale, which remains subject to regulatory approvals, is expected to close around mid-2024 and will see RTL Nederland’s networks including five free-to-air TV channels, three digital pay-TV channels and its news organisation moving under the DPG banner.

It also owns the country’s popular streamer Videoland, which claims 1.3 million paying subscribers. RTL Nederland’s total revenue i 2022 was €636m.

The deal comes almost a year since regulators blocked RTL Nederland’s sale to John de Mol’s Talpa Networks.

DPG Media, which is active in Belgium, the Netherlands and Denmark, operates across news media, radio, magazines and online services, as well as TV.

As part of the deal, RTL Group and DPG Media will enter into a strategic partnership, spanning technology to advertising sales and content, with current contracts across streaming and broadcast operations extended for three years.

For three years after closing, RTL Group’s broadcasters in Germany, France and Hungary will receive first-look rights for all new programmes developed by RTL Nederland.

Based on a separate trademark license agreement, DPG Media will continue to use the ‘RTL’ brand in the Netherlands at least until December 2034.

Thomas Rabe, RTL Group’s CEO, said: “Under the leadership of CEO Sven Sauvé, the company has built a strong culture and achieved extraordinary successes – demonstrated by market-leading audience shares in linear TV, strong growth in streaming and high profitability.

“For several years, we have consistently said that market consolidation in the European TV industry is necessary to compete with the global tech giants. After our in-country consolidation strategy was blocked by the competition authorities in January 2023, the sale to DPG Media is the best strategic option for RTL Nederland and all its stakeholders.

“We are looking forward to the strategic partnership with DPG Media, working closely together on European solutions in advertising and streaming technology, international advertising sales and joint content development.”

Christian Van Thillo, executive chairman of DPG Media, added: “Together with our leading TV brands VTM and RTL Belgium, we will be able to build a group that has the necessary scale to invest in the digital transformation of television.

“I am looking forward to working with the outstanding leadership team of RTL Nederland, and I am also very pleased that we will build a strategic partnership with RTL Group.”