Liberty Media To Spin Off International Businesses

US cable corporation, Liberty Media, is to spin off its international businesses to shareholders, as part of efforts to simplify the group’s complex structure.

The detached businesses will run as Liberty Media International (LMI) and will operate principally in Europe, Japan and Latin America. These businesses include UnitedGlobalCom, Jupiter Telecommunication and Liberty Cablevision of Puerto Rico.

Liberty Media says that the spin-off will allow investors to invest directly in its international assets and will also generate currency for further expansion. The company says that the new structure provides the most immediate route to recognising the value of the international interests, although it has not given an expected value for LMI.

LMI reaches 24.3 million cable homes throughout Europe, Japan and Latin America. The group’s UnitedGlobalCom reaches 11.0 million cable homes in Europe alone. LMI also owns Dutch-based cable company UPC, which in turn holds a 25% stake in the UK’s Telewest Communications.

Liberty Media owns a wide range of electronic retailing, media, communications and entertainment businesses operating in the United States, Europe, South America and Asia. It is also the second largest shareholder in News Corporation after Rupert Murdoch.

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