Get 40% Off
These stocks are up over 10% post earnings. Did you spot the buying opportunity? Our AI did.Read how

UPDATE 1-Mediaset chairman appears open to Prisa asset buy

Published 10/14/2009, 07:06 AM
Updated 10/14/2009, 07:09 AM

* Follows recent co denial of interest in Digital+, Cuatro

* Chairman says possible bond issue "on the CFO's desk"

* Says shareholder lawsuit may hamper capital hike

* May consider a dividend increase

* Stock up over 2 percent

(Adds quotes, background)

ROME, Oct 14 (Reuters) - Italian broadcaster Mediaset could be interested in some TV operations in Spain owned by Prisa, its chairman said on Wednesday, adding a possible bond issue was on "the chief financial officer's desk".

Replying to a question on whether the broadcaster, owned by Italian Prime Minister Silvio Berlusconi, is interested in buying some TV operations from Prisa, Mediaset Chairman Fedele Confalonieri said: "We will see, we are talking to everyone".

He was speaking on the sidelines of an event in Rome.

Mediaset, which already controls Spanish TV player Telecinco , has said several times it was interested in possible acquisitions, though it has denied reports about specific moves.

Last week a Mediaset spokesman said media reports it was interested in buying Digital+ and Cuatro, owned by Prisa, were groundless.

When asked about a possible Mediaset bond issue, Confalonieri said the possibility was on "the chief financial officer's desk".

Last week, a court ruled that Mediaset's controlling shareholder, Fininvest -- Berlusconi's holding company which has 38.6 percent of the broadcaster --, must pay 750 million euros ($1.12 billion) in damages to a business rival in a case about a 1990s takeover battle.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Confalonieri said the damages payment was like "a sword of Damocles" hanging over the possibility of a capital increase.

"If our main shareholders have a sword of Damocles like this and you (Mediaset) want to do a capital increase, you think twice," Confalonieri said.

When asked whether Mediaset could raise the dividend to help Fininvest pay the damages, Confalonieri said the company "could think in theory" about a higher dividend.

"Don't forget we are part of the same church, but two different parishes."

Fininvest has said it would appeal the ruling. Mediaset shares were up 2.67 percent at 4.90 euros at 1044 GMT. ($1=.6717 Euro) (Reporting by Alberto Sisto; editing by Simon Jessop)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.