Russia’s CTC Media is reported to have acquired a controlling stake in Caramba TV, a company that operates a video portal of the same name and produces the popular online show 1005000.

Quoting unnamed sources, Kommersant says the deal is worth R150 million (€2.05 million) and will help CTC Media both diversify its revenues in the digital environment and reduce the costs of the purchase of internet traffic.

Caramaba TV was established in October 2014 and has about 2 million unique visitors each month.

It has around 20 million video hits each month and, along with a partner site, 75 million page views each month.

Following the deal, which has yet to be announced by CTC Media, its founders, who include Mikhail Orlov and Maxim Golopolosov, are expected to retain minority shares in the company.

CTC Media, which is backed by Modern Times Group (MTG), is one of the leading broadcasters in Russia.