You will be redirected back to your article in seconds

Telefonica, CEI reach radio, TV agreement

$560 mil deal gives media co. control over 50% of Argentine TV

BUENOS AIRES — Telefonica and Citicorp Holdings (CEI) have reached an agreement by which the Spanish media group Telefonica Media will control leading Argentine channel Telefe (Channel 11) and 50% of Azul TV (Channel 9). Also covered under the mammoth agreement is a network of 11 provincial stations and Radio Continental. Telefonica is expected to announce the purchase of the remaining 50% of Azul from Australian-based Prime TV.

Although final figures were still being discussed, a source at CEI estimated the sale at $560 million, to be paid with shares in Telefonica Media and an undisclosed amount of cash. With this operation Telefonica Media will control more than 50% of Argentina’s TV market.

According to industry sources, negotiations for cable operator Cablevision and leading sports programming producer TyC, in which CEI and Telefonica hold equal shares, are still under way, but industry observers believe the cable system will remain in the hands of CEI and U.S. investment firm Hicks, Muse, Furst & Tate.

Jose Antonio Rios, president of Telefonica Media, said in a press release that the Spanish group wishes its media business to be the leader in Portuguese- and Spanish-language TV markets, and that Telefe and Spanish Antena 3 will be jewels of the crown to enter the Latino TV markets. Telefe has a 37.8% market share in Argentina, the largest penetration in South America. Telefe figures big in the company’s acquisitions plans. Rios said that other TV acquisitions will be announced shortly in Argentina and possibly in the U.S.

Meanwhile, the general manager of Telefe, Gustavo Yankelevich, will leave his post after 11 strong years to manage Ampelion, a newly created programming producer that will produce exclusively for Telefe.

Citicorp Holdings has investments in TV, cable, radio, telecommunications, the Internet and publishing companies. The holding is controlled by Hicks, Muse (40.2%), Republica group (28.8%) and Citibank (23%). Telefonica was until now CEI’s equal partner in most of their business in Argentina, though the two now differ in their goals.

More Biz

  • promenade Cannes Croisette Cannes Placeholder

    Cannes Market Claims Record Visitor Numbers

    The Cannes Market, the Cannes Film Festival’s commercial wing, says that its 2019 edition welcomed a record number of participants. It reported 12,527 attendees. The largest group by nationality was from the U.S. with 2,264 participants, followed by France with 1,943 participants, and the U.K. 1,145. Comparable figures for 2018 were not available. The number [...]

  • Former movie producer Harvey Weinstein (L)

    Some Weinstein Accusers Balk at $30 Million Settlement

    Updated: Some of Harvey Weinstein’s accusers are balking at a proposed $30 million settlement of their harassment claims, which could scuttle the deal, Variety has learned. Attorneys in the Weinstein Co. bankruptcy case told Judge Mary Walrath on Thursday that they are close to a global resolution of the civil litigation. The accusers, their lawyers [...]

  • Director Dean DeBlois and online game

    'Dragon' Director Dean DeBlois and PUBG's CH Kim to Keynote 2019 VIEW Conference

    Dean DeBlois, director and executive producer of DreamWorks Animation’s “How to Train Your Dragon: The Hidden World,” and PUBG Corporation CEO CH Kim are the first keynote speakers announced for the 2019 VIEW Conference in Turin, Italy, in October. Since it began 12 years ago, VIEW, which stands for Virtual Interactive Emerging World, has continually [...]

  • Harvey Weinstein

    Harvey Weinstein Accusers Near Settlement in Bankruptcy Case

    Attorneys in the Weinstein Co. bankruptcy case say they are getting close to reaching a settlement that would compensate Harvey Weinstein’s sexual misconduct accusers. The company went bankrupt last year, as it faced hundreds of millions of dollars in debt and numerous civil suits on behalf of Weinstein’s alleged victims. The company sold to Lantern [...]

  • Ari Emanuel Endeavor

    Endeavor IPO Filing Offers Details of Company's Financials, Leadership Pay Packages

    Endeavor’s IPO filing Thursday offers a hard look at the company’s financial performance during the past three years during a period of rapid growth for the company that’s home to UFC, WME, Professional Bull Riders and a clutch of other assets. Endeavor is generating solid free cash flow from operations and healthy adjusted earnings for [...]

  • Pamela Anderson

    Pamela Anderson Fears Julian Assange 'Won't Survive' Extradition to U.S.

    After previously speaking out in support of her friend and WikiLeaks founder, Julian Assange, Pamela Anderson doesn’t think he would survive an extradition from the U.K. to the U.S. “I hope he gets out of there, but I don’t think he’ll survive extradition. It can’t happen. It’s not even an option. We can’t have him [...]

More From Our Brands

Access exclusive content