A Trump defeat would create an even more rabid Fox 21 Oct 2020 Rupert Murdoch’s $16 bln cable group has enjoyed an unrivaled relationship with the president. Joe Biden’s victory would rob him of his biggest celebrity. Democrats could also target the channel. And Trump might go into competition. Doubling down on division may be the cure.
Italy’s soccer woes give buyout firms an open goal 17 Jun 2020 CVC and Bain Capital are vying to take a stake in the country’s top Serie A league. Empty stadiums will strain clubs’ finances, while broadcasters have dragged their feet on handing over 1.3 bln euros of annual TV money. It offers a rare opportunity for a cut-price cash transfer.
Corona Capital: Banking bonuses, Local TV M&A 30 Mar 2020 Concise views on the pandemic’s corporate and financial fallout: BBVA’s ditched bonuses pressure peers; local TV deal has more than one struggle.
Bolloré nears rare draw in messy Italian campaign 29 Nov 2019 Vivendi is to sell 20% of Mediaset, part of a broad truce with the Berlusconi-controlled broadcaster. The deal ends a wasteful legal row with little financial damage for Vivendi’s top investor Vincent Bolloré. Yet his larger Telecom Italia investment is still deep under water.
Viacom-CBS is the Rip Van Winkle of TV 14 Aug 2019 The two firms split 13 years ago to extract value and boost growth. That plan failed, while peers got larger like Disney, or sold like Fox. A reunited Viacom and CBS can best shake off its slumber by amassing a portfolio of great shows to sell to more established video streamers.
Berlusconis’ German TV raid looks opportunistic 29 May 2019 Mediaset, controlled by the former Italian prime minister’s family, snapped up 10% of Germany’s ProSieben. There’s a case for Europe’s media groups to combine to fight Netflix, but the move brings the Italians few real benefits. A cheap price is probably the main draw.
Pay-TV tycoon comes to his own rescue 20 May 2019 Dish is suffering from falling subscribers and revenue, a heap of debt and needs bidders for its spectrum assets. Founder Charlie Ergen’s short-term fix is to pay stock to another of his companies, EchoStar, for some satellites it uses. The cash saved will buy Dish some time.
Netflix reaps the dividends of its dominance 15 Jan 2019 The video streaming service is raising the cost of subscriptions just as AT&T, Disney and NBC ready rival offerings. Hiking prices in the face of growing competition could turn off viewers. Yet Reed Hastings’ firm is so far ahead of peers he can afford to take the risk.
Tribune gets better M&A script in second season 3 Dec 2018 Nexstar is buying the U.S. media group for $4.1 bln. Tribune recently pulled out of an earlier deal after suitor Sinclair irked U.S. regulators. This go-around looks like a stronger plot. The price is higher, the buyer’s record is strong and there’s a clean sheet with watchdogs.
Comcast overreaches for Sky with $40 bln knockout 22 Sep 2018 The U.S. cable group beat Disney’s Fox in an auction for the UK broadcaster with a bid worth 17.28 pounds per share. CEO Brian Roberts will struggle to justify the offer on any conventional metric. It’s a huge bet on overseas growth for a group that can’t get much larger at home.
Sky battle may end in awkward media giant impasse 19 Sep 2018 A sealed-bid auction could decide whether Comcast or Disney takes control of the UK broadcaster. The winner will almost certainly overpay. If the cable giant triumphs, the Magic Kingdom might keep its 39 pct stake. That would make the fierce rivals uneasy joint venture partners.
Naspers takes first step to shrinking Tencent gap 18 Sep 2018 The South African group is valued at a hefty discount to its $120 bln stake in the Chinese internet giant. Floating its African TV unit should therefore provide some relief to frustrated investors. To unlock more value, though, Naspers may need to shed its remaining operations.
Corbyn goes mainstream with UK tech tax idea 23 Aug 2018 The opposition Labour Party’s leader, Jeremy Corbyn, wants to tax tech giants like Google and Facebook to fund journalism. The normally radical politician is in line with European thinking. His proposed solution has flaws but a better designed subsidy would be worth considering.
Britain’s Disney M&A ruling is a bit Mickey Mouse 16 Aug 2018 The Takeover Panel, generally a sound custodian of UK bid rules, is keeping the Magic Kingdom’s minimum buyout price for Sky at 14 pounds per share. Nudging it higher, in line with Disney’s Fox bid, would have set a better precedent for similar deals in the future.
#MeToo is only one of CBS’s Les Moonves problems 30 Jul 2018 The media group is investigating its CEO over sexual-harassment accusations. Even without that, he was a risk. CBS has an entrenched board, is fighting unhelpfully with controlling owner Shari Redstone and faces a tricky industry-wide transition. Moonves is no longer an asset.
Disney can still play hardball with Comcast on Sky 26 Jul 2018 Shares in the UK pay-TV group have sunk since Comcast ceded Fox to the House of Mouse. Investors may think that means Magic Kingdom boss Bob Iger will not bid for Sky, which Comcast also wants. He would be missing out on a prize business, or a cheap opportunity to hurt a rival.
ITV may need more than fine-tuning 25 Jul 2018 CEO Carolyn McCall wants to improve its clunky online service. Cost cuts and extra revenue will offset higher investments, soothing fears of lower dividends. If advertising revenue collapses and viewers switch over, she could have to contemplate lower payouts and M&A.
UK takes space leap as it leaves EU orbit 20 Jul 2018 Exiting the European Union has cast a cloud over Britain’s membership of the Galileo satellite-navigation project. Going it alone could leave the government with a big bill. Building Europe’s first launch pad, though, taps into strong demand for new commercial satellites.
Comcast’s second loss to Disney is a victory 19 Jul 2018 Boss Brian Roberts decided not to top rival Bob Iger’s $71 bln bid for Fox assets, instead focusing on buying Sky. In 2004, Comcast also backed down after trying to buy the Mouse House. Given the eye-watering price Disney is paying, Roberts and his shareholders are the winners.
Univision broadcasts a warning to today’s buyouts 11 Jul 2018 The Spanish language TV company is trying sell websites it bought two years ago. The Onion – no joke – was never a fit. Neither was a massive debt load imposed 11 years ago when five private owners bought it. With lenders now looser than ever, private equity risks painful reruns.