Banijay emphasises English-language ‘value’ in All3 deal

Banijay has underscored the global need for scale in English-language programming as a driving motivation behind the mega-merger with All3Media. 

In an earnings call this morning providing further details of the landmark deal to create a £4bn combined entity, Banijay Group chief exec François Riahi admitted that English-speaking content had “more value” for global streamers and was an area in which All3Media excelled. 

Pointing to the figure that 79% of All3Media’s 2024 production revenues came from English-language content, Riahi noted this is “very important” because of the international reach of “English-speaking content in our industry”, despite the advances of local programming on the SVoD majors. 

“These global platforms buy local content, and sometimes they have to buy them by law – so they buy Spanish, Italia, French series, etc – but English-speaking series are global content,” he said. “It has more value and, I would say, more reach for global streamers.  

“The fact that we’re strengthening our capabilities in English-speaking countries, especially the UK and US, is strengthening our position with global platforms.” 

Banijay’s English-language content currently makes up just 27% of the France-based group’s output and following the deal, Banijay will be the largest English-language production studio outside of the US, with Riahi citing Amazon Prime Video hit The Assassin. Riahi said its footprint across 25 countries would “materially enhance our ability to generate global hits and secure multi-territory hits”. 

DTC intent and cost-savings plans 

Expanding on the scale the deal will bring, Riahi said Banijay would look to expand its DTC offering, while cost-savings are likely to be felt across both companies’ distribution arms. 

“In a fast-consolidating market, scale really matters. With the rise of AI, ownership of premium IP, is more strategic than it has ever been,” Riahi said.  

Part of the €50m synergy savings are likely to hit Banijay Rights and All3Media International, with Riahi pointing to the need to “eliminate duplication and improve commercial efficiency” across the distribution divisions. 

Other savings will come from “optimisation of support and central functions,” Riahi continued, with a “more integrated approach to procurement of support services, exactly as we did [when Banijay acquired] Endemol Shine”. 

He added that the enlarged group would be able to better negotiate with streamers and “accelerate our extension into high-growth digital creator and live ecosystems”, pointing to All3’s Little Dot Studios several times through the hour-long call. 

He described the company as a “prominent digital player” and highlighted its experience of managing 1,000+ social channels, generating 11bn organic monthly views and operating 135+ YouTube channels as a key focus for Banijay’s side of the business. 

The deal will create a group with around £4bn annual revenues, made up of Banijay’s €3.3bn (78% production, 12% digital, 10% other and live events) and All3’s 1.1bn (66% production, 34% distribution). 

Riahi also outlined the importance of scale in an industry that just last week saw Paramount strike a deal to acquire Warner Bros Discovery. 

“This transaction kills three birds with one stone. First, it is a deal of size, scale and penetration, enlarging our English-speaking capabilities, which is very important,” he said. 

“Second, we are partnering with a very strong partner to continue our consolidation of the industry. 

“Thirdly, we get some cash, so we have the financial capabilities to continue with consolidation. If you look at the industry rationale, it is more scale, more IP and more growth.” 

Riahi said Banijay had been “aiming for several years” to acquire All3Media, whose chief exec Jane Turton will become deputy to Banijay boss Marco Bassetti within the newly enlarged group – which is to be known as Banijay. 

It will become part of the Banijay Group, which also houses companies such as betting firm BetClic, and Riahi said the combined company’s scale would allow it to better monetise its IP and talent relationships. 

“The combination of IP, production scale and distribution power positions the group to fully exploit its catalogue, accelerate franchise revenues and drive structurally higher monetisation,” he said.