Amazon leverages to acquire podcaster Wondery
Amazon.com Inc. is in exclusive talks to acquire podcasting company Wondery Inc. for more than $300 million, the Wall Street Journal reported, following a bidding process that also sparked the interest of Apple Inc. and Sony Music Entertainment.
Buyout talks are ongoing and could collapse, the Journal said, citing unidentified people familiar with the talks.
Bloomberg first announced that Wondery was considering a sale in September. And Apple and Sony Music have each discussed the possibility of acquiring the company, which produces shows such as “Dirty John” and “Dr. Death. “The podcasting company has asked for a price of $300 million to $400 million, people familiar with the matter said.
Amazon and Wondery declined to comment.
Amazon already has a dominant position in audiobooks, thanks to its Audible division, and it has sought to push further into podcasts and other non-musical audio. The Seattle-based company has commissioned successful author and celebrity programs, emerging as one of the biggest supporters of original audio shows.
Although Spotify Technology SA has been the most aggressive buyer among podcasting companies over the past two years, the Swedish audio giant has decided not to bid on Wondery.
Wondery seeks to capitalize on a wave of deals in the podcasting industry. Spotify has spent hundreds of millions of people buying companies like Ringer and Gimlet Media over the past two years, and Sirius XM Holdings Inc. has acquired Stitcher.
Founded in 2016 by former TV director Hernan Lopez, Wondery has produced some of the most popular podcasts in recent years. Revenue is expected to exceed $40 million in 2020, a person familiar with the matter said.
