Results 1 to 1 of 1
  1. #1
    Donated Member
    Larry-G's Avatar

    Join Date
    May 2010
    Thanked 22,877 Times in 12,372 Posts

    Could Vivendi buy Sky?

    French media giant Vivendi is said to be considering a bid to acquire all of the Sky-branded European pay-TV broadcasters.

    Reuters have reported ‘early stage discussions’ and analysts at investment bank Exane BNPO-Paribas state that the rumour has been bouncing around for a few weeks. Exane has run some numbers and – assuming a 25 per cent premium to market – says this would be a huge deal for Vivendi (or anyone else) with a bid of €37 billion.

    The bank suggests that even it is assumed that Vivendi has a cash pile available of some €10-11 billion to hand, and perhaps even €15 billion if one includes certain disposals which are still working their way through the system, Vivendi would still be looking for finance of about €15 billion to conclude a Sky purchase.

    “Synergies are far from obvious at this stage,” says an Exane note. “We see one BIG positive: being in a position to bid for content on a regional basis IF this is the way the content market moves – a real possibility, even if it is years away. Apart from that, Sky is well run and we don’t see massive synergies bar the usual [marginal elements].”

    The bank warns that such a complex deal as this would suggest much larger structural risks to the pay-TV business. But it also says that the head of Vivendi, Vincent Bolloré is “very creative” in the way he strikes deals.

    My posts contain my own personal thoughts and opinions, they do not represent those of any organisation or group but my own.

    If you don't like what I post, Don't read it.


  2. The Following User Says Thank You to Larry-G For This Useful Post:

    Sicilian (09-04-15)

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts