The Plenary Session of the Federal Institute of Telecommunications (IFT) approved the merger between Univisión and Televisa to create a new firm that aims to be the largest Spanish-speaking media group in the world.
The regulatory body explained that the merger of the companies does not provide for anti-competitive effects arising from the operation in these coincident activities of Univision Holdings and Grup Televisa, largely due to to Univision’s marginal participation in Mexico.
The authorization granted by the IFT is without prejudice to the authorizations that the parties must obtain from other instances.
The Institute stated that Televisa will maintain ownership of telecommunications and broadcasting concessions in Mexico, Under the auspices of which operates its broadcast television and cable and satellite distribution of audiovisual content, including channels that are programmed by Sky and Izz “and advertising that have the right to market.
Plus, it will keep you going its businesses in print publications, telephony, internet, and telecommunications services related, as well as the operation of football teams, stadiums and games of chance.
Televisa and Univisión reported in April the merger of their portfolios, which will cover more than 300,000 hours of programming, together with Televisa’s production capacity, which in 2020 produced more than 86,000 hours of entertainment, sports and content. news and special events.
Grupo Televisa will receive a value of 4,800 million dollars and will become the largest shareholder in the new Televisa-Univision, acquiring 45 percent of its shares.
To support the digital transformation, SoftBank, Google and The Raine Group, one of the investment banks with the greatest specialization in technology issues, are joining forces as strategic partners.
These three entities and the ForgeLight investment fund, led by Wade Davis, will contribute millions of dollars to the operation and join the current shareholder group made up of ForgeLight itself, Searchlight, Liberty Global and Grup Televisa.
It is estimated that Televisa-Univision will be a company that reaches estimated joint sales in the order of 4 billion dollars and an EBITDA of 1,600 million dollars, with a margin greater than 40 percent possinergias derived from the integration.