Antena 3 taken by Telefonica.

The Spanish telecommunications company Telefonica recently signed a preliminary agreement with Spain's Antena 3 Television enabling Telefonica to take over the management of the TV channel. Telefonica acquired 25 percent of Antena 3, while the Santander Group and Banco Central-Hispanoamericano (BCH) acquired another 18.7 percent. Several investment banks have estimated the value of Antena 3 at $613 million.

In the agreement, Telefonica also acquired a 49 percent stake in Gestora de Medios Audiovisuales, which owns 40 percent of Audiovisual Sport, which in turn shares all-important soccer rights with TV3 and Sogecable.

At press time the companies were hammering out a standard agreement, which may include the exchange of other assets and deal with joint multimedia projects in Spain and Latin America.

With this acquisition, Telefonica adds free TV to its existing pay-TV operations. The company reaches 1.5 million subscribers through cable affiliates in Argentina, Peru and Chile. According to Telefonica, the deal is in line with the trend toward globalization in the international telecommunications market and will provide content for any future satellite or cable endeavors. A representative of Santander noted that the alliance would enhance Antena 3's chances of diversification via a future initial share offering.