Saturday, November 27

French Vivendi asks to take majority control of Grupo Prisa


The entertainment company asks the central government to increase its shareholders from 9.9% to the maximum allowed 29.9%

Grupo Prisa building in Gran V
Grupo Prisa building in Gran VaBERNARDO DAZ

The French entertainment group Vivendi, so far a 9.9% shareholder of Grupo Prisa, wants to increase its power in the company. This is demonstrated by the authorization request that has been submitted to the Ministry of Industry, Commerce and Tourism to grow to 29.9% of the shares of the communication group and that Prisa transferred this Monday to the National Securities Market Commission (CNMV).

That 29.9% is the maximum limit that the Spanish Government allows a company before forcing it to launch a public acquisition offer (opa), which would mean that Vivendi would have to bid for the entire communication group. This latest move would already place the French company as the largest shareholder in Prisa, which it entered last January and where has already made a first expansion to its current 9.9% only a few days after the first purchase.

This request to the Executive of Pedro Snchez was presented by Vivendi on October 21 before the General Sub-Directorate of Foreign Investments and was notified this Monday to the CNMV, at which time the editor of El Pas, As or Cadena Ser has one of its historical lows in the share price: 0.56 euros.

If this move is accepted, the French company will rise to main investor of the group together with Amber Capital, led by Joseph Oughourlian, who last February was appointed non-executive president of the company in the middle of the restructuring in which it has been immersed for months and which led to the removal of Javier Monzn from the position now held by the businessman of Armenian origin.

In fact, its rise is based on an agreement with Vivendi itself and Telefnica, which has just over 9% of Prisa’s shareholders. A shareholder that is completed by the Polanco family (Rucandio SA) with 7.6%; International Media Group and Grupo Herradura Occidente, with 5% each; the Mexican magnate Carlos Slim, with 4.3%, and Banco Santander, with 4.1%.

Vivendi, under the command of French businessman Vincent Bollor, had already entered Grupo Prisa at the beginning of the year with 7.6% of the shares it had acquired from the British bank HSBC. And just a few days later that participation increased to 9.9% with which the company that owns Universal Music Group, Canal + or Editis currently has.

With its entry into Prisa, the French group indicated at the beginning of the year that it faced an ongoing strategy to be a global leader in content, media and communications and expand your access to Spanish-speaking markets in Europe, Latin America and the United States. This was stated in a public statement by the company that at the moment is also immersed in an opa against its rival in the neighboring country, Lagardere.

According to the criteria of

The Trust Project

Know more

Leave a Reply

Your email address will not be published. Required fields are marked *