AmazonThe company agreed to buy film studio MGM for $8.45 billion, betting that the century-old Hollywood icon can meet consumers' endless demand for streaming content.

This is Amazon's largest acquisition since it agreed to buy Whole Foods for $13.7 billion in 2017, but Amazon invested about $11 billion in the content of its streaming video and music service last year alone.

"the real financial value behind this deal is the IP treasure trove that we plan to redesign and develop with MGM's talented team," Mike Hopkins, senior vice president of Prime Video and Amazon Studios, said in a statement. "it's very exciting and provides a lot of opportunities for high-quality storytelling."

MGM, which is currently owned by hedge funds including Anchorage Capital Group, has been seen as a takeover target for years, but has never been able to complete the sale. The company made a new effort last year, when it was said to have hired consultants to seek an offer.