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NBC Universal Unit Acquires Video Start-Up


Multi-platform entertainment programmer LX.TV has been acquired by NBC’s Local Media Division. LX.TV began producing hi-def programming for NBC Universal’s (NYSE: GE) WNBC last January. The company will become a standalone unit within the Local Media Division and will produce “cultural and lifestyle programming” across the group’s local media platforms.

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Former MTV execs Joseph Varet and Morgan Hertzan founded the local entertainment company as Code.TV, a broadband channel for young, affluent urbanites, in 2006 with funding from family and friends. While no one is talking money, we hear the deal could be worth about $10 million, not a huge hit but a more than decent exit. (In response to a query I just got, “could be worth” is the key—not saying they got $10 million cash.)

As part of the deal, Varet, the CEO, will be a consultant during the transition while Hertzan will be SVP and GM for LX.TV. The unit will remain NYC-based but will expand to include production offices in other NBC local owned-and-operated markets. NBC owns 10 local stations.

Part of LX.TV’s appeal to NBC Local Media is its out-of-home use—for instance, NYC taxis—at a time when NBC is expanding its out-of-home reach and advertising efforts. NBC Local Media just announced another new business unit: Everywhere, to focus on that growing market. 

Copyright 2008 CMN News Service. All Rights Reserved.

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