Editor | 20-09-2013
In keeping with its announcement earlier in 2013, the European entertainment network RTL Group has exercised its put option to sell its 7.5% shareholding in Russia’s National Media Group.
The action will see RTL Group gain a payment of €81 million in the framework of the exercise of its put option and transfer the shareholding to one of the current shareholders in National Media Group. Despite cashing out its holding, RTL stressed that it has “excellent” relations with National Media Group and its shareholders and that both companies would welcome future opportunities for cooperation.
It is perhaps no surprise for RTL to realise the holding. As it announced its interim financial results in August 2013, RTL noted that TV advertising market conditions remained challenging in the first half of 2013 with only the German TV advertising market forecast to be stable year-on-year, while all its other core markets decreased.
RTL said that going forward it will deliver on its strategy “broadcast – content – digital” to generate future growth. Part of this plan includes joint ventures with companies such as CBS for the launch of two thematic pay channels in South East Asia. It added that it will also ensure its FremantleMedia business line continues its strategic realignment to create a clearer focus for its future as a stronger and more unified company, scaling up investment in the creative pipeline and format development across all genres.