In a surprising turn of events, Altice USA has announced the sale of the financial news streaming service, Cheddar News, to media company Archetype. This deal, which is said to be structured as an “earn out” deal, has caught the attention of many in the industry, as it marks a significant shift for Cheddar News and its future prospects.
Altice USA has sold Cheddar News to Archetype, a media company owned by private equity firm Regent LP. This move comes after rumors of a possible deal to sell Cheddar to Regent. With Archetype’s ownership, Cheddar News will now be part of a portfolio that includes media brands like Sunset Magazine and Military Times. The new owners expressed their excitement in a statement, highlighting Cheddar’s role in transforming how millennials access television news since its debut in 2016.
Under the ownership of Archetype, Cheddar News aims to expand its reach and solidify its position as the independent “Voice of What’s Next.” By empowering new audiences to be informed and engaged citizens in an ever-changing world, Cheddar News hopes to make a lasting impact in the media landscape.
While the exact terms of the deal have not been officially disclosed, CNBC reported that it is an “earn out” deal. This means that Altice USA will receive proceeds in the future if Cheddar News meets certain performance targets. Internal projections suggest that these payments could amount to approximately $50 million. This financial aspect of the deal adds an interesting dynamic to the transaction and highlights the potential mutual benefits for both parties involved.
The sale of Cheddar News marks a significant change in ownership and direction for the streaming service. Previously owned by Altice USA, Cheddar News has had a successful run within their portfolio, reaching new viewers and delivering need-to-know news content. The president of news, advertising, and programming for Altice USA expressed pride in Cheddar News’ accomplishments and growth during their ownership.
With the new ownership and the emphasis on expanding Cheddar’s reach, the future looks promising for Cheddar News. The acquisition by Archetype presents an opportunity for the streaming service to leverage the media company’s expertise and resources to further strengthen its presence in the industry.
The sale of Cheddar News to Archetype signifies a new chapter for the streaming service. With a focus on expanding its reach and becoming the definitive independent voice of what’s next, Cheddar News has the potential to make a significant impact in the media landscape. As the industry continues to evolve, Cheddar News’ ability to adapt and engage with its audience will be crucial in ensuring its long-term success.