Liberty’s cash boost for Prisa
Media group Prisa, main owner of digital DTH platform, Digital Plus, is to get a cash injection of E650 million following the approval by shareholders of US investment group Liberty Acquisitions Holdings.
Under the agreement, Prisa will buy 100 per cent of Liberty through the issuance of approximately E225 million new ordinary shares and 403 million new preferred shares. Liberty’s investors will become independent shareholders in Prisa. The deal will also make possible for Prisa to expand into the US and Latin America.
Prisa had agreed to sell 50 per cent of its shares to the U.S. investment fund, as part of a series of asset sales to cut its debt of E4.8 billion. Prisa is also finalising the sale of its shares in the Portuguese media company Media Capital for around E80 billion.
In a similar move to tackle its debt, Prisa and Mediaset-owned Tele 5 recently reached an agreement to merge their FTA channels Cuatro and Tele 5. The operation is to be completed by the end of December, with Prisa taking a 18 per cent stake in the new merged company. The CEO of Prisa, Juan Luis Cebrian, and the president of Sogecable, Manuel Polanco will be appointed new members of the board of directors at Tele 5.