President Pinera's pact to sell off Chilevision stumbles
It appears that Chile’s president won’t be selling his television network after all.
Irreconcilable differences arose between Linzor Capital and the investment firm of Chile president Sebastian Pinera that spiked the deal last week.
The sale, worth a reported $130 million, failed nearly halfway through the 60-day transaction period. One of the reasons for the rupture between parties was the concession for the Chilevision signal, which belongs to the U of Chile, and is scheduled for renewal in 2018 for a period of 25 years.
The failed negotiations could expose the president to renewed criticism over his reluctance to sell his TV holdings.
Pinera has been compared to Italian prime minister Silvio Berlusconi, a likeness he has taken steps to avoid.
Pinera sold $1.5 billion stake in flagship airline LAN, but the business mogul couldn’t hide his soft spot for Chilevision.
He purchased it in 2005 for around $24 million, guiding it to a net profit of $15 million last year.