Time Warner flashes the cash in Endemol takeover
Editor ©RapidTVNews | 13-12-2011 In the latest part of its billion Euro attempt to buy production house Endemol, Time Warner has returned to the negotiating table with the same bid but in cash.
Even though its fame Endemol is somewhat of a legend in terms of producing programmes such as Big Brother and Deal Or No Deal, and indeed a fine generator of income, expected to generate around $€140 million in sales by the end of 2011, it is also debt-ridden.
Indeed it is though that Endemol is in the red to the tune of some €2.8 billion and has been the subject of a number of prospective buy out rumours for the last six months at least. Complicating the matter has been the corporate structure of the firm, co-owned by Silvio Berlusconi's Mediaset and Goldman Sachs's Capital Partners and Cyrte, the investment vehicle of Endemol founder John de Mol.
Yet it would appear that the latest move will suffer the same fate as the previous offer with Endemol keen to seek alternative financing that would persevere its independent status.
Speaking to the Guardian newspaper about the revised offer, an Endemol spokesman said: “Endemol has received a revised offer from Time Warner…The company has passed it on to the lenders. We remain focused on our discussions with lenders and these have entered the final stages. We are confident that a solution that puts the company on a firm financial footing for the future is now imminent."