BBC Studios has purchased British broadcaster ITV‘s 50% stake in streamer BritBox Worldwide for £255 million ($322 million), the businesses revealed on Friday.

The streamer was based in 2017 as a three way partnership between BBC Studios, which is the industrial arm of the British broadcaster, and ITV. “The transaction will present internet proceeds together with mortgage repayments and accrued dividends and after tax of round £235 million,” the businesses stated.

“The sale displays ITV’s technique of specializing in supercharging its U.Okay. advertiser-funded streaming service, ITVX and rising its international Studios division,” ITV added. “The board intends to return your complete internet sale proceeds to shareholders by means of a share buyback which it expects to launch imminently after the full-year outcomes on March 7.”

Below the phrases of the settlement, ITV Studios will proceed to obtain an ongoing income stream from BritBox Worldwide much like present ranges for using ITV content material underneath new prolonged licensing agreements. BritBox U.Okay. will stay unaffected and can nonetheless characteristic BBC content material as a part of separate long-term agreements. In 2022, ITV had purchased out the BBC’s share of BritBox U.Okay. forward of the launch of ITVX.

Carolyn McCall, ITV CEO stated: “The sale of fifty% of BritBox Worldwide means ITV is targeted on its core strategic targets of continuous to construct on ITVX’s success and rising ITV Studios. I wish to thank the BritBox Worldwide group for making the corporate so successful and notably CEO Reemah Sakaan for her management, drive and imaginative and prescient.”

Tom Fussell, BBC Studios CEO, added: “This is a crucial acquisition for us. We’re taking full possession of a profitable, rising service we all know properly and that matches with our acknowledged ambition to double the dimensions of our enterprise. Britbox Worldwide has British content material at its coronary heart and it generates and satisfies demand for British exhibits exterior the U.Okay. We’ll proceed to make important investments sooner or later to ship long run worth to the BBC. I’d wish to thank Reemah for her excellent contribution to BritBox Worldwide, which underneath her stewardship has seen outstanding year-on-year progress.”