SiriusXM acquires Conan O'Brien's podcast and digital media outlet

Comedian Conan O'Brien poses as he arrives at the WarnerMedia Upfront event in New York City, New York, U.S., May 15, 2019. REUTERS/Mike Segar

May 23 (Reuters) - Sirius XM Holdings Inc (SIRI.O) has acquired former late-night talk show host Conan O'Brien's digital media firm Team Coco and his podcast "Conan O'Brien Needs a Friend", the audio entertainment company said on Monday.

As part of the deal, O'Brien has entered into a five-year agreement with SiriusXM under which he will continue to host his hit podcast.

Terms of the deal were not disclosed. However, the Wall Street Journal which first reported the acquisition, said the deal was for $150 million, citing people familiar with the matter.

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O'Brien, a former writer on 'The Simpsons', will also work with SiriusXM to create and produce a new original Team Coco comedy channel for SiriusXM subscribers, SiriusXM said.

The deal will bring Team Coco's staff to SiriusXM, who will continue to produce podcasts and collaborate with the network on content.

SiriusXM will also gain rights to distribute certain videos from O'Brien's late night show on TBS, live events and sell merchandise from Team Coco's brands.

Audio content companies in recent years have bet big on podcasts with market leader Spotify Technology SA (SPOT.N) investing over a billion dollars on acquiring shows such as "The Joe Rogan Experience".

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Reporting by Akash Sriram in Bengaluru; Editing by Shailesh Kuber

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