Peter Chernin makes US$500m Hulu bid

Former News Corp president and chief operating officer Peter Chernin has reportedly tabled a US$500 million (€384 million) bid for US video-on-demand portal Hulu. 

Chernin, who stepped down from News Corp in 2009, reportedly made the formal offer through his Providence Equity Partners-backed media and entertainment investment firm Chernin Group.

Hulu has not commented on the report, though Reuters, which was first to publish the news, said the offer came after the News Corp and Walt Disney-owned site reached out to potential bidders in March. Comcast, Hulu’s third co-owner, gave up corporate control of the site as part of its NBCUniversal takeover deal.

The Financial Times, citing unnamed sources, said that Hulu was underwhelmed by the offer. The site took on a valuation of US$2 billion after Providence Equity, which was a previous stakeholder in the site, sold its 10% share for US$200 million last year.

A separate report in the LA Times said that other firms, including technology companies, had also expressed interest in buying the firm.

Chernin, who joined News Corp in 1989, was himself a former board member in 2007-established Hulu. Chernin Group now holds investments in firms including online video specialists Base79, blog platform Tumblr and news reading app Flipboard.

News Corp and Walt Disney were reported last month to be weighing their options for Hulu and considering a sale as well as buying each other out. Investment firm Guggenheim Partners was named at the time as one potential bidder.