AT&T Inc. acquired Chernin Group LLC's controlling interest in subscription, advertising and content company Otter Media Holdings LLC, the four-year-old joint venture between the two companies.
While AT&T did not disclose financial details of the deal, the company said it did not have a material effect on its first-half 2018 results when the majority of the deal was funded. The acquisition will not change the company’s plan to reduce its net debt-to-adjusted EBITDA ratio to the 2.5x range by the end of 2019 and to its historical range by the end of 2022, AT&T said.
Otter Media will become part of AT&T’s WarnerMedia unit. Tony Goncalves, who was appointed Otter Media CEO earlier this year, will continue to run the company, according to an Aug. 7 news release.
AT&T's WarnerMedia unit was created after the AT&T-Time Warner Inc. deal closed in June.