KKR, Permira Start Staged Exit from

Private equity investors to sell 11% stake in German TV group

LONDON — Private equity investors KKR and Permira have initiated their staged withdrawal from ownership of German broadcasting group ProSiebenSat.1.

KKR and Permira announced Tuesday that they will sell 25 million shares in the TV network. The shares, which rep a 11% stake, are valued at 800 million euros ($1.05 billion).

The two investors, which will hold 33% of the shares after the sale, acquired a controlling stake in 2006 for 3.1 billion euros ($4.1 billion) from U.S. billionaire Haim Saban. It merged ProSiebenSat.1 with SBS Broadcasting Group, creating Europe’s second-largest TV group, with operations in 14 countries.

Like other European broadcasters faced with falling revenue from TV advertising, ProSieben has turned to other sources of revenue, such as video on demand and the international sale of its own productions, through its distribution arm Red Arrow, whose shows include Netflix’s “Lilyhammer” and ABC’s “The Taste.”

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