Channel 4, the British public broadcaster the government plans to sell, has published bold proposals for an alternative to privatisation.
The company plans to enlist private investment, establish a joint venture that owns the rights to commercialise shows globally and relocate from Horseferry Road to a bigger headquarter in Leeds.
Last month, the government announced it was to sell the broadcaster, citing its inability to compete against global streamers like Netflix if it remained in public hands and its limited access to capital..
Channel 4's alternative plan to privatisation was outlined by chief executive Alex Mahon.
For the first time, Channel 4 is to leverage private capital, bringing £1bn of new investment in British content by 2030.
An important component of the proposal, entitled "4: The Next Episode," is the creation of an IP joint venture (JV) with a majority shareholder external to Channel 4 to mark the significant private capital investment.
The JV would "invest in British creative content, combining Channel 4’s commissioning expertise, distinctive British flavour and ‘shop window’ for curated content with private capital."
Ian Katz, Channel 4's chief content officer, told reporters: "Complete commission control would sit with us.”
According to the broadcaster, '4: The Next Episode' would generate around £11bn in added gross value.
Media reports indicate Channel 4 had its best year ever in 2021, with the broadcaster's initial figures indicating revenues of £1.2bn, up from £934mln in 2020, a financial surplus of £100mln and cash reserves of £272mln.