Funds Searchlight and Invesco have acquired 50 per cent of over €900 million in Mediapro’s debt from other funds and banks to exchange for shares in the TV group, according to Expansión.
The companies are also set to inject €150 million in the Spanish TV group to control it and mitigate its beleaguered financial situation that prevent it from meeting the payments on a €920 million loan it originally secured in 2018.
Funds Searchlight and Invesco have acquired a package of €180 million in debt from Barings, with a 30 per cent discount. With the move, Chinese fund Orient Hontai Capital, the main shareholder in the group, will significantly reduce its share, with the second largest investor WPP pulling out of the company.
Mediapro has asked the Spanish Government for an urgent aid of €230 million to avoid bankruptcy. Mediapro saw its income drop by 38 per cent in 2020, amid recorded losses of €215 million.