You will be redirected back to your article in seconds

Creditors drive away with EM.TV F1 stake

Co. sells SLEC slice for $9 mil as part of out-of-court deal

BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday.

Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern LB for the knockdown price of $9 million as part of an out-of-court settlement in February.

The kidvidder’s former management had pledged the stake to the banks for $1.6 billion in loans to Kirch as part of a rescue plan to save EM.TV from bankruptcy in 2001. The deal left Kirch in control of Formula One, but also dangerously in debt, contributing to its insolvency last year.

EM.TV has an option for a percentage of future proceeds from a sale of the stake. The pact is expected to settle a dispute with Formula One automakers, who have threatened to found their own racing event unless they get a bigger piece of Formula One profits.

EM.TV was forced to write down the stake’s book value of $220 million last year, leaving it with an annual loss of nearly $340 million.

More TV

  • Morgan Spurlock Sexual Misconduct

    Morgan Spurlock's TNT Series 'Who Rules the World' Halts Production

    BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday. Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern […]

  • George Clooney Matt Charman

    Watergate Series in the Works at Netflix From George Clooney, Matt Charman

    BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday. Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern […]

  • The Chi

    TV News Roundup: Showtime Offers Early Look at Series Premiere of 'The Chi'

    BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday. Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern […]

  • Sam Esmail Remote Controlled Podcast

    Remote Controlled: 'Mr. Robot' Creator Reflects on Season 3, Previews Season 4

    BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday. Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern […]

  • Thomas Ferguson

    Endemol Shine Names Thomas Ferguson VP of Licensing, Partnerships

    BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday. Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern […]

  • Bob Iger Rupert Murdoch

    International Newswire: So Where Does Disney-Fox Pact Leave International?

    BERLIN — U.S. banks and Kirch Group creditors Lehman Bros. and J.P. Morgan are joining Germany’s Bayern LB in taking over kidvidder EM.TV’s stake in Formula One racing, EM.TV said Thursday. Company agreed to sell its 16.7% stake in Formula One marketing company SLEC (via a 22.3% share in the Speed holding firm) to Bayern […]

More From Our Brands

Access exclusive content