Premiere, the German pay-TV operator, said yesterday that takeover talks were proceeding smoothly and it expects to have a new owner confirmed by the end of March.
Last month, a deal was brokered by which the private equity house Permira will take a 70% stake in Premiere, which was formerly part of the fallen Kirch empire (see
Premiere Finds A New Home). Permira is waiting on assurances that the platform has enough cash to continue operating through the current quarter but has vowed to provide sufficient funds to enable Premiere to break even next year.
Creditor banks have agreed to waive E750 million in loans in return for a 20% share and the remaining stake will be distributed among a number of individuals including Premiere chief executive George Kofler.
The future of KirchMedia is less certain following the late intervention of Haim Saban in the auction process (see Saban Back In The Running For Kirch). The US media investor is understood to have met with Kirch officials to discuss a counter bid to Bauer Verlag’s E2 billion offer.
