RTL Group to acquire Sky Deutschland
RTL Group has acquired Sky Deutschland (Germany, Austria, Switzerland), for €150m, creating a media business with some 11.5m subscribers.
The deal – which is subject to regulatory approvals – combines Sky’s premium sports rights, including Bundesliga, DFB-Pokal, Premier League and Formula 1, with RTL’s entertainment and news brands across RTL+, free-to-air and pay TV. It also unites the streaming platforms RTL+ and WOW.
RTL Group chief executive Thomas Rabe described the deal as “transformational for RTL Group”.
He said: “It will bring together two of the most powerful entertainment and sports brands in Europe and create a unique video proposition across free TV, pay TV and streaming.
“It will boost our streaming business, with a total of around 11.5 million paying subscribers, further diversify our revenue streams and make us even more attractive for creative talent, rights holders and business partners.”
Rabe said the synergies are estimated to be around €250 million per annum within three years after closing, creating “significant shareholder value”.
He added: “Together, RTL and Sky will be in an even stronger position to invest in people, content and technology in Germany and in Europe to compete with the global tech and streaming players. I want to recognise the outstanding work of the Sky Deutschland team, whose strong performance over recent years has laid the foundation for this next phase.”
Rights deals and strategic content partnerships
At the end of 2023, RTL Deutschland and Sky Deutschland struck a two-year partnership for seven Formula 1 races to be broadcast live on RTL in Germany, alongside one game from the English Premier League per match week on RTL+, and three conference broadcasts of the 2nd Bundesliga on RTL.
As part of the commercial agreement, Sky Deutschland received rights to two Europa League or Europa Conference League games per match week, providing subscribers access to premium live sport every Thursday.
At the time, RTL said “sharing live sport and content is the start of a broader partnership between RTL Deutschland and Sky Deutschland, with the ambition of finding further ways to share content in the future”.
And, at the end of last year, RTL Deutschland secured for the 2025/6 Bundesliga season onwards the exclusive free-to-air TV rights to broadcast the Saturday evening games of the 2. Bundesliga, as well as a highlights rights package for Bundesliga and 2. Bundesliga on RTL+.
At the time, RTL Deutschland said its portfolio now includes matches of the German national team, the Uefa Europa League and Uefa Conference League and – in cooperation with Sky Deutschland – three live conference broadcasts of the 2. Bundesliga per season, and a top match from the English Premier League per match week.
According to the agreement, RTL Group will fully acquire Sky’s businesses in Germany, Austria, Switzerland, including customer relationships in Luxembourg, Liechtenstein and South Tyrol on a cash-free and debt-free basis. The purchase price consists of €150 million in cash and a variable consideration linked to RTL Group’s share price performance of up to €377m.
Barny Mills, Sky Deutschland CEO, will continue to lead the Sky Deutschland business until the transaction is completed. Stephan Schmitter will stay in his current role as CEO of RTL Deutschland until closing of the transaction and then lead the combined company. RTL Deutschland will remain headquartered in Cologne and Sky Deutschland in Munich.
Dana Strong, Group CEO at Sky, added: “Sky Deutschland has made significant progress over the past three years, delivering strong operational performance and reaching a record number of customers.
“The business is on track to achieve EBITDA break-even, reflecting the success of our turnaround plan. Combining the strength of our brand with RTL builds on that momentum and opens up even greater opportunities. This deal provides a strong platform for long-term success, and ensures Sky continues to share in the growth of the combined business.”