UPDATE: Vivendi has entered into a “binding strategic and industrial agreement” with Mediaset that includes the acquisition of 100% of the latter’s pay-TV unit Mediaset Premium.
Under the terms of the deal, Vivendi and Mediaset will acquire stakes of 3.5% in each other.
Earlier, Bloomberg reported that as the stake in Vivendi is valued at around €874 million and the company’s market value is six times that of Mediaset, the latter would make up the difference by also including its 89% stake in Mediaset Premium as part of the agreement.
It also said that Spain’s Telefónica, which owns the remaining 11%, was expected to also sell its stake to Vivendi, possibly for cash, as part of the agreement.
In a statement confirming the agreement, Vivendi said that “the two companies have agreed to develop an industrial partnership at international level to, on one hand, jointly develop various initiatives for the production and distribution of ambitious audiovisual content and, on the other, to create a global over-the-top (OTT) television delivery platform”.
It also said that the closing of the transaction, which is expected to occur in the coming months, is subject to the approval of the relevant regulatory authorities.
