Combination creates a leading, global premium
content powerhouse
ViacomCBS Inc. (Nasdaq: VIACA, VIAC) (“ViacomCBS”) today
announced the completion of the merger between CBS Corporation and
Viacom Inc. The combined company, which is renamed ViacomCBS,
creates a premium content powerhouse with global scale, including
leadership positions in markets across the U.S., Europe, Latin
America and Asia.
“This is a historic moment that brings together two iconic
companies to form one of the world’s most important content
producers and providers,” said Bob Bakish, President and Chief
Executive Officer of ViacomCBS. “Through the combination of CBS’s
and Viacom’s complementary assets, capabilities and talented teams,
ViacomCBS will create and deliver premium content for its own
platforms and for others, while providing innovative solutions for
advertisers and distributors globally. I am excited about the
opportunity we have to serve our audiences, creative and commercial
partners, and employees, while generating significant long-term
value for our shareholders.”
Building on an extraordinary collection of culture-defining
franchises and partnerships with creative talent around the world,
ViacomCBS will be home to more than 140,000 premium TV episodes and
3,600 film titles, with global production capabilities and more
than $13 billion in annual content investment. The company will
account for 22% of TV viewership in the U.S. and hold the highest
share of broadcast and cable viewing across key audience
demographics, with strength in all categories, including News,
Sports, General Entertainment, Pop Culture, Comedy, Music and
Kids.
Through the strength and scale of these assets, ViacomCBS will
be well-equipped to maximize the value of its content for its own
platforms and for others, as it meets the growing global demand for
third-party premium content. The company’s content scale will
support a robust streaming strategy, including ViacomCBS’s own
suite of advertising and subscription-based offerings. In addition,
the company’s broad reach, extensive intellectual property
portfolio and expertise in advanced marketing solutions will enable
it to strengthen its partnerships with distributors and advertisers
globally.
ViacomCBS Class A and Class B shares will begin trading on the
Nasdaq Global Select Market on December 5, 2019 under the ticker
symbols “VIACA” and “VIAC”, respectively.
As previously announced, as a result of the merger, each Viacom
Class A share and Viacom Class B share converted into 0.59625 of a
Class A share and Class B share of ViacomCBS, respectively. Holders
of CBS Class A shares and CBS Class B shares will continue to own
their existing shares, which are now shares of ViacomCBS.
ViacomCBS will have an attractive growth outlook, be positioned
to deliver beneficial cost and revenue synergies and generate
substantial free cash flow. This will sustain significant
investment in programming and innovation, as well as support
ViacomCBS’s commitment to a modest dividend payment. ViacomCBS will
also benefit from a strong balance sheet, solid investment grade
rating and a board and management team that are focused on creating
shareholder value.
About ViacomCBS
ViacomCBS (NASDAQ: VIAC; VIACA) is a leading global media and
entertainment company that creates premium content and experiences
for audiences worldwide. Driven by iconic consumer brands, its
portfolio includes CBS, Showtime Networks, Paramount Pictures,
Nickelodeon, MTV, Comedy Central, BET, CBS All Access, Pluto TV and
Simon & Schuster, among others. The company delivers the
largest share of the U.S. television audience and boasts one of the
industry’s most important and extensive libraries of TV and film
titles. In addition to offering innovative streaming services and
digital video products, ViacomCBS provides powerful capabilities in
production, distribution and advertising solutions for partners on
five continents.
For more information about ViacomCBS, please visit
www.viacbs.com and follow @ViacomCBS on social platforms.
Cautionary Statement Concerning Forward-Looking
Statements
This news release contains both historical and forward-looking
statements. All statements other than statements of historical fact
are, or may be deemed to be, forward-looking statements within the
meaning of section 27A of the Securities Act of 1933 and section
21E of the Securities Exchange Act of 1934. These forward-looking
statements are not based on historical facts, but rather reflect
our current expectations concerning future results, objectives,
plans and goals, and involve known and unknown risks, uncertainties
and other factors that are difficult to predict and which may cause
future results, performance or achievements to differ from those
expressed or implied by these statements. These risks,
uncertainties and other factors include, among others: following
the recently completed merger, the CBS and Viacom businesses may
not be integrated successfully or such integration may be more
difficult, time consuming or costly than expected and may not
achieve anticipated synergies; operating costs, customer loss and
business disruption, including difficulties in maintaining
relationships with employees, customers, suppliers or vendors may
be greater than anticipated as a result of the merger; the
potential impact of unforeseen liabilities, future capital
expenditures, expenses or failure to achieve anticipated revenues,
costs savings, earnings and synergies from the merger on our
financial condition and the management, expansion and growth of our
business; litigation related to the merger; potential adverse
reactions or changes to business relationships resulting from the
merger; the ability to retain and hire key personnel and the
uncertainties associated with leadership changes; the risk that the
market price for ViacomCBS common stock may be affected by the
consummation of the merger and factors different from those that
have historically affected CBS and Viacom common stock; the
anticipated tax treatment of the merger may not be obtained; risks
associated with third-party contracts containing consent and/or
other provisions that may be triggered by the merger; and other
risks, uncertainties and factors described in our news releases and
filings and Viacom’s and CBS’ filings with the Securities and
Exchange Commission, including but not limited to Viacom’s Form
10-K for the fiscal year ended September 30, 2019, CBS’ Form 10-K
for the fiscal year ended December 31, 2018 and their respective
reports on Form 10-Q and Form 8-K subsequent to the filing of their
annual reports on Form 10-K. The forward-looking statements
included in this news release are made only as of the date of this
news release, and we do not undertake any obligation to publicly
update any forward-looking statements to reflect subsequent events
or circumstances. If applicable, reconciliations for any non-GAAP
financial information are included in this news release or
available on our website at ir.viacbs.com.
VIAC-IR
View source
version on businesswire.com: https://www.businesswire.com/news/home/20191204005844/en/
Media: Justin Dini, Senior Vice President, Corporate
Communications (212) 846-2724 justin.dini@viacbs.com
Investors: Anthony DiClemente, Executive Vice President,
Investor Relations (212) 846-5208 Anthony.DiClemente@viacbs.com
Viacom (NASDAQ:VIAB)
Historical Stock Chart
From Oct 2024 to Nov 2024
Viacom (NASDAQ:VIAB)
Historical Stock Chart
From Nov 2023 to Nov 2024