A group of German banking groups controlling insolvent German media concern Kirch Media have accepted a revised E525m, or E7.25 per share, offer for Kirch’s ProSieben TV from US billionaire investor Haim Saban and a consortium of five US private equity firms.
A late rival bid from Apax Partners failed to prevent Saban and the banks from reaching agreement.
Apax declined to disclose details of its offer.
In June, Saban had submitted an initial E2bn offer for the business, which at the time also included the group’s film archive. The ultimately unsuccessful bid was made without the backing of private equity firms.
The revised E525m offer, which excludes the film assets and its E1.3bn of debt, is supported by
Rothschild is advising the consortium on its offer for ProSieben. Saban is being advised by JP Morgan. KirchMedia is being advised by UBS Warburg.
The creditors of KirchMedia have been trying to sell KirchMedia's key assets for more than a year to recover some of the billions of euros borrowed by Leo Kirch, who ran the KirchMedia empire until its collapse last year.
Initially, Saban and the
In a second stage, the consortium would pay E200m for an additional 14.5 per cent stake in ProSieben currently held by KirchMedia subsidiary Taurus TV. An additional E280m to E300m will be invested into the business by way of a capital increase.