Telefónica takes €100MN stake in Mediaset Italy
DetailsJuan Fernandez Gonzalez | 15 January 2015
Telefónica has reached an agreement with Mediaset Premium, the Italian group's pay-TV company, through which the Spanish telco will acquire 11.1% of its capital by paying around €100 million.
According to Italian newspaper La Repubblica, Telefónica has finally closed the deal - negotiations of which started last summer - in which Mediaset Premium had to set a value for the whole company at €900 million.
Luis Velo, currently Telefónica's content president, will join Mediaset Premium's board of directors.
This isn't the first time that the companies have come to an understanding, with Mediaset's Spanish subsidiary agreeing to sell Canal+ shares to Telefónica in July, a move through which the telco aims to gain full control of Spain's largest pay-TV operator.
Through this agreement, Telefónica continues to operate in the Italian market but changes its business focus to pay-TV, as it will soon get rid of its Telecom Italia shares once GVT's operation is concluded in Brazil.