Printer Friendly
The Free Library
23,403,340 articles and books


QVC SECURES FINANCING TO COMPLETE TENDER OFFER FOR PARAMOUNT COMMUNICATIONS

 WEST CHESTER, Pa., Nov. 20 /PRNewswire/ -- QVC (NASDAQ-NMS: QVCN) announced today that it has secured the financing for its previously announced $90.00 cash tender offer for 51 percent of the outstanding common shares of Paramount Communications Inc. (NYSE: PCI).
 QVC said that a group of six banks has committed to lend $3 billion to QVC to buy Paramount shares under the terms of QVC's tender offer. The banks had previously agreed to lend that sum to finance a merger between QVC and Paramount.
 BellSouth Corporation (NYSE: BLS) has committed to purchase $1.5 billion in QVC equity securities in support of QVC's tender offer. This consists of $1 billion to purchase approximately 16.7 million shares of QVC common stock and $500 million of QVC 6 percent convertible exchangeable preferred stock. BellSouth had previously signed a non-binding joint venture and equity investment agreement with QVC.
 As part of the terms of BellSouth's commitment, in the event that BellSouth cannot purchase the equity at the time QVC's tender offer expires, then BellSouth would purchase $1.5 billion in new stock issued by a newly formed, single purpose, wholly-owned subsidiary of QVC. That subsidiary would lend the proceeds from the BellSouth purchase of the new stock in the QVC subsidiary to QVC for the purpose of purchasing Paramount shares under the terms of the tender offer.
 Combined with investments of $500 million each from Advance Communications, Cox Enterprises and Comcast Corporation, today's commitments constitute all of the funding required for QVC's tender offer.
 QVC also announced that while it is not waiving the conditions to its offer, none of those conditions would any longer be in its sole discretion or judgment.
 As previously announced, QVC is offering approximately $5.5 billion in cash for 61,008,240 Paramount common shares, QVC's offer, proration period and withdrawal rights will now expire at midnight on Nov. 29, 1993, unless the offer is further extended.
 -0- 11/20/93
 /CONTACT: Michael Rourke of QVC, media, 212-371-5999, or 215-429-8303, or William F. Costello of QVC, investors, 215-430-8948, or Diana Brainerd of Abernathy/MacGregor/Scanlon, 212-371-5999/
 (QVCN PCI BLS)


CO: QVC Network; Paramount Communications; BellSouth Corporation ST: Pennsylvania IN: TLS SU: FNC

TM -- NYSA006 -- 6599 11/20/93 15:55 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

 Reader Opinion

Title:

Comment:



 

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 20, 1993
Words:375
Previous Article:GENERAL MOTORS PRESENTS LEHIGH UNIVERSITY WITH $124,000 EDUCATIONAL GRANT
Next Article:THE WALT DISNEY COMPANY PRESENTS THE AMERICAN TEACHER AWARDS, NAMES LETA ANDREWS AND PATRICIA ANN BALTZ OUTSTANDING TEACHERS OF 1993 -- TEACHERS...
Topics:

Terms of use | Copyright © 2014 Farlex, Inc. | Feedback | For webmasters