Discovery Communications announced today that it has agreed to form a new consolidated joint venture with TEN: The Enthusiast Network. Discovery will take a majority controlling interest in the venture that brings together Discovery’s automotive Velocity channel and TEN’s automotive digital, direct-to-consumer, social and live event portfolio.
The TEN portfolio includes such brands as Motor Trend, Hot Rod, Roadkill, Automobile, and more than 20 others. The venture is designed to create a top automotive media company and a destination for automotive enthusiasts, auto buyers and advertisers on all screens and platforms.
“Continuing with Discovery’s strategy to reach superfans on all platforms in popular and durable content categories, this joint venture brings together the most trusted media brands in the automotive industry to create a multiplatform business with the reach, talent, and consumer insights to nourish car enthusiasts on all devices,” said David Zaslav, President and CEO, Discovery Communications. “By combining popular brands like Motor Trend, Hot Rod and Velocity, this venture will create a content engine that fuels not only our linear platform but also new direct-to-consumer, social and mobile opportunities with the goal of owning the car vertical across all platforms.”
The venture will be called TEN: A Discovery Communications Company, and upon closing will offer advertisers a unified offering with a combined reach of more than 150 million automotive “superfans,” car buyers and a “quality male audience,” says Discovery.
TEN’s print businesses will not be part of the new venture, though an agreement will allow for cross-promotion between the print portfolio and the new venture.
“This venture is about giving advertisers the quintessential way to reach auto enthusiasts, prospective car buyers and an affluent male audience that buys a lot more than cars,” said Paul Guyardo, Chief Commercial Officer for Discovery Communications. “It’s also about giving consumers OTT access to world-class automotive content on every screen.”
Guyardo will serve as CEO, and Chairman of the new venture’s Board of Directors in addition to his current responsibilities. Leading the new venture will be Scott Dickey, President of TEN, and Bob Scanlon, who will be appointed President of Velocity and TEN Video Content. Both Dickey and Scanlon will report to Guyardo.
Ten is a portfolio company of GoldenTree Asset Management LP.