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Springer extends in Turkey

November 27, 2008

Axel Springer is extending its partnership with Turkey's biggest media conglomerate the Dogan group. The companies announced that Axel Springer would sell 5.1 per cent of the 25 per cent stake in Dogan TV it bought in 2006 to its parent, Dogan Yayin Holding. The price of E77m ($99m) is based on the valuation used in the original deal. Axel Springer will pay E47m for a stake of less than 10 per cent in Dogan Yayin Holding, and will receive E30m in cash by 2012. After planned capital increases by both Dogan TV and Dogan Yayin, in which Axel Springer will not participate, the German company will have a slightly larger effective stake in Dogan TV than it does now, a direct interest in some of Turkey's biggest newspapers and a seat on Dogan Yayin's board.

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