Yahoo Finance Byron Allen’s Media Company to Undergo Layoffs
Byron Allen’s media firm is set to undergo a notable round of layoffs, the company disclosed.
“Allen Media Group is making strategic changes to better position the company for growth that will result in expense and workforce reductions across all divisions of the company,” a rep for Allen Media told The Hollywood Reporter on Thursday. No detail was disclosed on the size of the workforce reduction.
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Allen Media Group properties include the linear TV network The Weather Channel (purchased for what was said to be in the $300 million range in 2018) as well as the network and website TheGrio, local TV stations in multiple cities, streaming service HBCU Go and branded properties like Cars.TV and Pets.TV.
The Los Angeles-based firm, founded in 1993, also includes a film distribution company that has released such titles as shark thriller 47 Meters Down and Western Hostiles, among other titles. In 2021, Allen bought Black News Channel at bankruptcy court for $11 million with hopes to revive the brand, but shut it down a year later.
Allen, who has a net worth of $735 million per Bloomberg estimates, has also touted himself as a potential media mogul suitor willing to scoop up linear TV channels as conglomerates look to shed those assets amid cord-cutting declines. He has talked about buying CNN, has thrown his hat in the ring to purchase BET Media Group and publicly said he’d take Disney’s linear TV assets off Bob Iger’s hands and he’d lead a bid of $30 billion for Paramount Global.
However, a challenging linear TV environment and advertising headwinds across the industry could also be impacting Allen’s properties. “Allen Media Group’s brands continue to perform well and in many areas our revenue growth has greatly outpaced the market,” the rep said. “We are aligning these changes to drive future business opportunities and support growth strategies in our rapidly evolving industry.”
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