French telcom giant Orange has entered into exclusive negotiations to acquire 49% of the capital of Dailymotion, the French video website.
The deal would see Orange progressively increase its holding to the full 100% beginning in 2013, the company said on Tuesday. The two are expected to complete the transaction in the coming months.
Orange said the move illustrated its strategy to be focused on aggregation and distribution through key partnerships. The acquisition of Dailymotion will provide Orange with a video platform available across multi-screen media. Dailymotion, founded in 2005, currently has 93m unique visitors per month who watch one billion videos. Eighty percent of its users are located outside France.
Financial terms of the deal were not disclosed.