by Christopher Freeburn | March 27, 2013 10:58 am
On Tuesday, CBS (NYSE:CBS) announced that it has purchased half of TV Guide Network (TVGN).
TVGN, which has been operating for 32 years, is available on cable TV systems that reach 80 million U.S. homes. The service provides scrolling program listings. CBS acquired a 50% share of the company from JPMorgan Chase‘s (NYSE:JPM) equity investment unit for $100 million, the Los Angeles Times notes.
The broadcast TV giant’s move comes as TVGN faces an identity crises as cable providers switch to digital systems, which offer viewers their own programming guidance.
CBS’s partner in TVGN is Lionsgate (NYSE:LGF), which originally purchased the channel for $255 million in 2009. The channel, which has tried to migrate toward offering programming of its own, has been for sale since 2012 with a reported $350 million asking price.
In February, CBS concluded a deal giving Amazon (NASDAQ:AMZN) exclusive rights to stream its upcoming mini-series Under the Dome.
Shares of CBS rose slightly in Wednesday morning trading, while both JPMorgan Chase and Lionsgate fell more than 1%.
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