Drama boom drives investment in UK TV production sector | Media Analysis | Business
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There has been a stark increase in the rate of investments in the UK film and TV media market over the last five years with the number of deals increasing 136% from 2013 to 2017, with a 10% year-on-year increase from 2016 to 2017 says the UK Media Landscape: M&A Index from Broadcast Intelligence.
UKproductionboom 4dec2018
The data also revealed that the increased demand for British TV drama is a key driving force behind the rising number of UK M&A deals, as broadcasters and super-indies snap-up the producers behind hit series such as Killing Eve and The Missing.

Scripted production companies behind hit dramas were now found to have accounted for a greater number of business deals than those working in areas such as factual TV. While factual features more in the earlier years, the data also showed that scripted drama overtook factual in 2016 as the most prominent focus of production sector M&A investment.

Over the last five years ,and consistent with the strategy it has been deploying in that time, ITV was the biggest buyer of UK production companies as the studio notably increased its number of investments. More specifically, ITV was also the most prolific buyer of drama production companies; in 2017 the studio invested in seven producers, taking a controlling stake in five of them.

Notable acquisitions included a controlling stake in World Productions, the company behind megahit Bodyguard and Line of Duty. ITV also took 45% of Blumhouse Television, a US based production company behind the HBO hit Sharp Objects and Syfy drama The Purge. ITV’s increased investment activity is aimed at supporting the international and Studio side of its business, as its future growth becomes increasingly dependent on these areas.

“The boom in scripted drama is driving M&A to ever loftier heights; the genre represented over 40% all production sector deals made in 2017, compared with just over 15% in 2013,” said Matthew Evenson, research analyst for Broadcast Intelligence. “As long as the consumer demand for high quality scripted drama continues remains, this trend should continue in the near future.”