News Corp buy Premiere shares [Archive]

tango110

08-01-2008, 05:10 PM

Shares of German pay-TV group Premiere surged over 19%, as News Corp. bought a 14.6% stake for 287 million euros ($423 million) in cash. "Pay-TV is a core business for News Corporation and it's a category that's thriving across Europe with a multitude of new services and innovations," said CEO ****** Murdoch. News Corp. bought the stake from Unitymedia. News Corp is the owner of Marke****ch, which published this report.

This could be bad news maybe nds will be there next encryption :confused:

But not sure?

kinace

08-01-2008, 05:17 PM

from the guardian:

****** Murdoch's News Corporation has bought a 14.6% stake in German pay-TV operator Premiere for €287m (£214m), five years after losing £1bn on a previous investment in the broadcaster.

News Corp and BSkyB, the UK satellite company in which it holds a 39% stake, withdrew from the German TV market after a failed investment in the stricken media empire Kirch, Premiere's owner until 2002.

At the time Murdoch described the loss as a "black eye" and all but decided to pull out of mainland Europe, although he moved into Italy shortly afterwards.

The News Corp chairman and chief executive today hailed Premiere - which was floated in 2005 by private equity group Permira - as Germany's "foremost pay-TV business".

"Pay-TV is a core business for News Corporation and it's a category that's thriving across Europe with a multitude of new services and innovations," ****** Murdoch said.

"We see enormous potential for growth in Germany and believe the time is right to invest in its foremost pay-TV business, Premiere."

Premiere has more than 10 million viewers and more than 4m subscribers in Germany and Austria, News Corp said.

News Corp bought its stake from the German cable operator Unitymedia. Shares in Premiere jumped 26% after the announcement.

The deal is the first major investment since Murdoch's son James stepped up from being Sky's chief executive to News Corp chairman and chief executive, Europe and Asia.

News Corp has been taking a closer interest in mainland Europe in recent years, making investments in Bulgaria, Romania, Serbia, Turkey, Poland and Latvia, and also further afield in Georgia.

The company also owns Sky Italia, which has more than 4m subscribers, while Sky has built up its customer base in the UK and Ireland to 8.7m.