UK broadcaster ITV has confirmed it will acquire Educating Yorkshire (pictured) producer Twofour Group for an initial £55 million (US$86.58 million) for 75% of the company.
Under the deal, the remaining 25% can be bought by the end of 2017 and between 2019 and 2021.
With offices in London, Cardiff, Plymouth, Los Angeles and New York, Twofour Group includes such prodcos as Twofour, Boomerang, Oxford Scientific Films, Indus, Boom Cymru, Twofour America and scripted producer Delightful Industries.
ITV also gains ownership of Twofour’s 51% stake in drama indie Mainstreet Pictures, and is able to buy the remaining 49% of Mainstreet between 2018 and 2023.
According to a release issued by ITV, the total maximum consideration for Twofour and the remaining 49% of Mainstreet is £280 million with contingent payments dependent on both businesses “delivering exceptional profit growth to £60 million in aggregate over the payment period.”
Altogether, Twofour Group produced more than 1,200 hours of programming in 2014, with credits including The Jump, Posh Pawn, The Hotel Inspector and Animal Odd Couples. Meanwhile, Twofour’s in-house distribution arm, Twofour Rights, represents more than 550 hours of finished programs and formats, with such titles as Storage Hoarders, Ibiza Weekender, Happy Families and Chefs on Trial.
ITV has acquired Twofour from its majority shareholder, LDC, the private equity arm of Lloyds Banking Group.
“At ITV Studios our mission is to work with the best creative talent in Britain and our acquisition of Twofour is a brilliant illustration of that ambition,” said Julian Bellamy, MD of ITV Studios UK, in a statement. “They’re a creative group at the top of their game across factual, entertainment, drama and comedy and we’re delighted to welcome them into the ITVS family.”