New Zealand operator Spark has agreed to sell its entertainment streaming business Lightbox to Sky Network Television. Sky’s chief legal, people and partnerships sfficer Sophie Moloney says the deal enables Sky to merge Lightbox with its own streaming service Neon, and thus create an upgraded SVOD service for New Zealand customers. The enhanced service will combine features of Neon and Lightbox, and offer entertainment content from New Zealand and around the world. No financial details related to the transaction have been disclosed.
A conditional sale and purchase agreement has been signed and the deal is scheduled for completion in the next few months, subject to commercial, legal and regulatory approvals as required. There will be a transitional period following completion where Spark will continue to provide support for the Lightbox service, as the parties complete technical work to transition the platform to Sky.
Spark customers who are currently using Lightbox will continue to receive Lightbox ‘on us’ as part of their eligible mobile and broadband plans both while the deal is concluded and through a transitionary period. Following the transition period, Spark will partner with Sky to make the combined entertainment streaming service available to Spark customers through its broader entertainment offers on mobile and broadband.
According to Spark, Lightbox customers who are paying for the service directly will continue to have access to the same content they view today, and once Lightbox becomes part of Sky’s new combined entertainment platform, customers will have access to an enhanced range of entertainment content.
Sky has announced that it will provide more details to investors and customers after the deal is completed and decisions are made how the combined Neon and Lightbox service will continue to deliver content to New Zealanders.
Spark started the formal process to engage with potential media partners to enhance and grow its Lightbox entertainment streaming business in March this year. Spark had over 355,000 Lightbox subscribers in March.
