Claxson Announces the Closing of the Sale of Its Basic Pay TV Networks to Turner.MIAMI Miami, cities, United States Miami (mīăm`ē, –ə). 1 City (1990 pop. 358,548), seat of Dade co., SE Fla., on Biscayne Bay at the mouth of the Miami River; inc. 1896. & BUENOS AIRES, Argentina -- Claxson (Pink Sheets:XSONF), the multimedia company that provides and distributes entertainment content to Spanish and Portuguese audiences around the world, announced today that, after obtaining the relevant anti-trust approval and the completion of other pre-closing conditions, it has closed the sale of its seven Basic Pay TV Networks and related businesses to Turner Broadcasting System Turner Broadcasting System, Inc. (often abbreviated TBS Networks or TBS, inc.) is the company managing the collection of cable networks and properties started by Robert Edward "Ted" Turner from the mid-1970s to the late-1990s. , Inc. The Pay TV Networks acquired by Turner include Space, I.Sat, Retro, MuchMusic, HTV HTV H-II Transfer Vehicle HTV Harlech Television (Wales, UK) HTV Hrvatska Televizija (Croatian television) HTV Heidenheimer Tarifverbund (German) HTV Habitual Traffic Violator , Infinito and Fashion TV. In addition, Turner assumes sales representation for Claxson and third party-owned networks in Latin America, and will provide related technical services to these networks. "We are very happy about the completion of this pending transaction with TBS and look forward to working with Turner to grow our remaining networks together," said Roberto Vivo, Claxson's Chairman & CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "We have successfully completed the sale of our two major assets and paid off our financial debt. We will now turn our focus on completing our going private transaction or otherwise seek alternative strategic initiatives with the liquidity achieved." Claxson will maintain its interest in Playboy TV Latin America, Digital Latin America, DMX See DMX512. Latin America and the Broadband and Internet business of its wholly-owned subsidiary ESDC ESDC Empire State Development Corporation ESDC Extra Segment Descriptor Cache ESDC Extremal Self-Dual Code . The total purchase price for the Pay TV Network business sold to Turner was $234 million and Claxson expects to maintain the net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from the transaction, after deducting transaction expenses and amounts to be held in escrow, in liquid funds in order to complete its going private initiative or seek alternative strategic opportunities. About Claxson Claxson (Pink Sheets:XSONF) is a multimedia company providing branded entertainment content targeted to Spanish and Portuguese speakers around the world. Claxson has a portfolio of popular entertainment brands that are distributed over multiple platforms through its assets in pay television and the Internet. Headquartered in Buenos Aires, Argentina and Miami, Florida, Claxson has a presence in the United States and all key Ibero-American countries, including without limitation, Argentina, Mexico, Chile, Brazil, Spain, and Portugal. Claxson's principal shareholders are the Cisneros Group of Companies and funds affiliated with Hicks, Muse, Tate & Furst Inc. This press release contains forward-looking statements within the meaning of the "safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " provisions of the U.S. Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. These statements are based on the current expectations or beliefs of Claxson's management and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. For a detailed discussion of these factors and other cautionary statements, please refer to Claxson's annual report on Form 20F filed with the U.S. Securities and Exchange Commission on September 27, 2006. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion