AT&T has sold its minority stake in Hulu back to the streaming video joint venture for $1.43 billion.
AT&T held a 9.5 percent interest. The transaction values Hulu at $15 billion.
Hulu CEO Randy Freer said: “We thank AT&T for their support and investment over the past two years and look forward to collaboration in the future. WarnerMedia will remain a valued partner to Hulu for years to come as we offer customers the best of TV, live and on demand, all in one place.”
AT&T will use proceeds from this transaction, along with additional planned sales of non-core assets, to reduce its debt.
The move comes as WarnerMedia prepares to launch its own streaming service, which will bring together content from HBO as well as brands such as DC, Looney Tunes, Turner, The CW and CNN.