The deal was Channel 4's first investment as part of its Commercial Growth Fund which was launched last year to help "high growth potential companies to build their business through advertising on Channel 4 marketing platforms".
Barcroft Holdings' core businesses include Barcroft TV, that launched a YouTube channel for popular Discovery channel show Bear Grylls: Man vs. Everest, and Barcroft Media, a content agency which licenses and distributes text, photography and TV documentaries to broadcasters in over 50 countries.
Sam Barcroft, CEO of Barcroft Holdings, told City A.M.: "Our company has been growing at a fast rate and we've had a lot of expressions of interest. We evaluated all the offers and realised Channel 4 is the best fit for us.
"Channel 4's expertise and experience will help us accelerate our business growth and fulfil ambitions of becoming a big player in the entertainment space."
David Abraham, chief executive of Channel 4 said: “Barcroft’s ability to connect with younger audiences globally, and their work with different formats, platforms and brands, aligns with our own commercial growth and we look forward to sharing our expertise to help Barcroft grow and to develop 4’s wider digital strategy.”
The terms of the deal weren't revealed.