Cuatro's purchase in March
Written by Iñaki Ferreras
A meeting of Telecinco executives to oversee the merger of the channel’s operations with that of Sogecable’s Cuatro hs reportedly set the final date for the merger for March.
At the end of 2009, Mediaset's Spanish channel Telecinco reached an agreement with Sogecable's Cuatro to merge. According to newspaper Expansión, Mediaset's vice-president Pier Silvio Berlusconi recently gathered in Madrid with a group of Telecinco's executives to oversee the operation. From this meeting came the intention of finalizing the merger in two months’ time. Due diligence has yet to spring any surprises on Mediaset's management.
The integration of Sogecable's channel will therefore be set for June, although Spain and Europe's competition authorities will have the final word.
According to the terms of the agreement Telecinco will control the management of the merged group and will integrate Cuatro into Telecinco through an exchange of shares. In exchange, Sogecable's owner Prisa will have 18.3% of the new company, which will be valued at €2,980 million