Set a Minimum Sale Price After Audience Loss and Reinvestment

A streaming business is considering selling The Analyst and using the opportunity to pursue Shark Bank. Before deciding, explain what information is needed to value the sale: the value of keeping the existing show, the audience that would be lost, and the contribution of the alternative investment.

You then receive a revised scenario for the relevant two-year comparison. Keeping The Analyst contributes zero. Selling it causes the business to lose 1.5 million viewers, with an economic value of $32 per lost viewer. The alternative show contributes $22 million in total over the comparison period. Treat these quantities as comparable economic values and assume the $22 million does not already subtract the lost-viewer value. Ignore taxes, transaction costs and discounting for the calculation.

Find the minimum sale price that leaves the business no worse off than keeping the show. A buyer offers $60 million: would you recommend selling under these assumptions? Explain how you would verify that the lost-viewer value and alternative-show contribution are not counted twice. The zero-value retention baseline is the revised scenario; do not substitute a profit estimate from a different scenario.