France Télévisions, M6 and TF1 groups announce the liquidation of SALTO

Rhea-AI Summary

France Télévisions, M6, and TF1 have announced the closure of the SALTO streaming platform, which had nearly one million subscribers since its launch on October 20, 2020. The decision follows the abandonment of a merger between TF1 and M6, which would have facilitated SALTO's continuation. The shareholders cited complex governance issues and a lack of distribution interest from major internet service providers as key factors for closure. Marc Sénéchal has been appointed as the administrator for voluntary liquidation. SALTO employees are to be assisted with alternative job placements where possible.

Positive

• SALTO had nearly one million subscribers, showcasing its initial success in the French market.
• The decision to close SALTO was made following a constructive dialogue with employee representatives, indicating a commitment to employee welfare.

Negative

• Closure of SALTO highlights failures in the proposed merger between TF1 and M6, indicating potential mismanagement or market challenges.
• The lack of interest from internet service providers in distributing SALTO points to challenges in competing with American streaming platforms.

PARIS--(BUSINESS WIRE)-- Regulatory News:

France Télévisions, M6 (Paris:MMT) and TF1 groups are today announcing their decision to close the SALTO platform.

Launched on 20^th October 2020, SALTO has currently near one million subscribers, who have signed up for an offer that combines the best of French drama with iconic daily shows and exclusive all-new programmes. It’s an easy-to-use, mass-appeal French-language platform that helps showcase creative talents from France and across Europe.

This decision by SALTO’s three founder-shareholders follows the abandonment of the proposed merger between TF1 and M6, which would have paved the way for SALTO to be taken over by the merged entity. Now that this project has been stopped, the shareholders of SALTO have decided that the conditions are not met for SALTO to continue with its current ownership structure, given the complex and constraining governance arrangements and the refusal of most internet service providers to distribute the platform, as is the case with the American platforms. In addition, none of the expressions of interest in taking over SALTO received from a number of industry players could be brought to a satisfactory conclusion.

Consequently, the shareholders of SALTO SNC have today decided that Mr. Marc Sénéchal, a partner in the firm B.T.S.G., should be designated as the court-appointed administrator to conduct a voluntary liquidation.

B.T.S.G. will shortly specify and announce the timetable for the shutdown of the platform and subscriptions. A specific communication will be sent in the near future to SALTO subscribers to inform them of the consequences on their current subscription.

As part of the prior information/consultation procedure involving the employee representative bodies, the SALTO Social and Economic Council expressed a favourable opinion on the proposed cessation of trading and on the collective redundancy procedure, following lively and constructive dialogue between the stakeholders. France Télévisions, M6 and TF1 groups have committed to making their best efforts to find alternative posts for SALTO employees.

France Télévisions, M6 and TF1 groups would like to pay tribute to the exceptional work accomplished by the talented people at SALTO, under the leadership of Thomas Follin, and to express their disappointment at this unfortunate outcome for the French broadcasting industry.

About France Télévisions group

France Télévisions is the no.1 French broadcaster in terms of audiences (29.4% share of individuals aged 4+ in 2022), and is home to:

• 1 video platform (france.tv), and a full range of special-interest online offerings (news, kids, sport, culture, education, overseas).
• 4 national TV channels: France 2, France 3, France 4/Culturebox, France 5.
• 1 global rolling news media brand available on all devices (France info).
• 2 networks: 24 regional TV channels in Metropolitan France (France 3), and 9 global tv/radio/web media outlets in overseas territories (no.1).

France Télévisions is a dominant player in French broadcasting: 4 out of 5 French people watch France Télévisions every week, across all screens.

Find out more at: francetelevisions.fr

About M6 Group

Established in 1987 around the M6 channel, M6 Group is a powerful multimedia group which focuses on three areas: television (13 channels including M6, the 2nd largest commercial channel in the French market), radio (3 stations including RTL, the leading private radio station in France) and digital (more than 30 online media services including mobile applications and IPTV services).

Leveraging its brands and content, M6 Group has gradually expanded its operations through targeted diversification activities (content production and acquisition, cinema, digital marketing, music, shows, etc.) and innovative offerings such as 6play, its digital platform.

Mindful of developing synergies between its brands, and of responding to the expectations of its various audiences while always keeping an eye on the future, it has emerged as a content publisher firmly anchored in the new technology era.

About TF1 group

TF1 group is a major player in the production, publication and distribution of content. Our raison d’être: to positively inspire society.

Our operations are split between two divisions:

The Media division is home to our free-to-air channels (TF1, TMC, TFX, TF1 Séries Films, LCI), our theme channels (Ushuaia TV, Histoire TV, TV Breizh, Série Club), our on-demand content platforms (MYTF1, TFOU MAX and SALTO), and the TF1 PUB advertising airtime sales house. We also operate in music production and live shows with Muzeek One.

The Production division, with Newen Studios, is home to 50 creative companies and labels in France and abroad. The division creates and distributes programmes across all genres and for all media industry players, from public-service and private-sector broadcasters to online platforms.

TF1 group has operations in around 10 countries, and employed 2,810 people as of 31 December 2022. In 2022, the Group generated revenue of €2,508m (Euronext Paris, compartment A: ISIN FR0000054900).

View source version on businesswire.com: https://www.businesswire.com/news/home/20230215005763/en/

France Télévisions: Muriel Attal: muriel.attal@francetv.fr – +33 (0)6 14 61 07 32

M6 group: Benjamin Boiron: benjamin.boiron@m6.fr – +33 (0)6 77 39 74 91

TF1 group: Maylis Carçabal: mcarcabal@tf1.fr - +33 (0)6 63 59 87 05

Source: M6 METROPOLE TELEVISION

FAQ

Why is the SALTO platform closing?

The closure is due to the abandonment of a merger between TF1 and M6, complex governance arrangements, and lack of distribution from internet service providers.

What will happen to SALTO subscribers?

SALTO subscribers will receive communication regarding the consequences of the platform's shutdown on their subscriptions.

Who is conducting the liquidation of SALTO?

Marc Sénéchal has been designated as the court-appointed administrator to conduct a voluntary liquidation of SALTO.

How many subscribers did SALTO have before its closure?

SALTO had nearly one million subscribers at the time of its closure.

What assistance will be provided to SALTO employees?

France Télévisions, M6, and TF1 groups have committed to making efforts to find alternative positions for SALTO employees.