Mediaset wants to increase ProSieben stake
December 18, 2020
By Chris Forrester
Italian broadcasting group Mediaset is reiterating its willingness to increase its stake in the German broadcaster ProSieben.
December 16th saw Bloomberg reported that Mediaset reiterated its ability to increase its existing 24.2 per cent equity stake in ProSieben although according to Blomberg it is currently happy with the size of its investment.
The Italian group was responding to recent comments made by Rainer Beaujean (Chairman of ProSieben’s Executive Board) who earlier said in an interview with German news daily Sueddeutsche Zeitung that it may have become more expensive for Mediaset to raise its investment in the German broadcaster (after the latter’s share price rallied to reach close to a 52-week high of €14 a share).
However, Mediaset said the Group remains open and flexible to expand its position as a strategic shareholder in ProSieben, and the recent share price increase would not impact its investments decision.
According to analysts from Deutsche Bank, earlier this year, Mediaset and its Spanish subsidiary Mediaset Espana bought an additional 9 percent stake in ProSieben for an estimated value of €150m, to increase their joint holding to 24.2 per cent (9 per cent directly and the rest through derivatives), benefitting from a sharp correction in ProSieben’s share price (down to €6-€7 levels) during the March/April period.