Juan Fernandez Gonzalez | 31-07-2013
Prisa's auditor, Deloitte, is questioning the company's viability and thinks it may be difficult to continue operating with the current 3,100 million debt, according to El Economista.
Prisa is working against the clock to refinance the debt, but, in spite of having the support of over 80% of its creditors, Deloitte sees difficultly in gaining approval from 100% of them which is almost the only solution for Canal+'s owner.
Another solution would be to find a new way of financing the company, but Prisa needs to find nearly 1,300 million before March 2014 in order to pay the syndicated loan. This is why Prisa is trying to find a buyer for Canal+, but only one who could pay a reasonable price to solve the company's immediate problems. Several groups have already shown interest, but Prisa would want around 900 million for the company. However, the pay-TV platform is not going through its best time at the moment and, while it loses customers, its value drops.
"There is a difficult future for Prisa, whose capacity to carry out its operations is uncertain," Deloitte is quoted as saying.
According to El Economista, the problem lies now with the American and Portuguese creditors. Over 85% of banks have agreed to Prisa's refinancing plan, but some corporations have their own problems and want more time to reflect and discuss the terms.
Prisa's companies in Spain are all seeing profits fall and only the online video platform Yomvi seems to be experiencing growth. Prisa's Latin American subsidiaries are growing too, so the company has reason to believe that, if the debt problem can be overcome, there is still a chance for a successful business.