Commission has yet to approve the proposition for a new directive.
In a significant move for the European media landscape, Media for Europe (MFE) has acquired a three-quarters majority of shares and voting rights in ProSiebenSat.1, a leading German media company. This acquisition, confirmed on September 1, follows an extended acceptance period.
The total offer from MFE was based on the daily closing price and amounted to 8.98 euros per ProSiebenSat.1 share. The offer included 4.48 euros in cash and 1.3 of MFE's own A-A shares per ProSiebenSat.1 share. As a result, the share price of ProSiebenSat.1 increased by 7.7% to 8.21 euros, while MFE's share price rose by 7% to 3.46 euros.
The acquisition allows for a dominance and profit and loss transfer agreement between MFE and ProSiebenSat.1. MFE's CEO, Pier Silvio Berlusconi, has plans to produce and offer a more local offering tailored to the German audience for ProSiebenSat.1 as part of a pan-European media platform. This local offering will include more news, entertainment shows, and TV series, similar to what is already being done in Italy and Spain.
The two representatives of the Czech investment company PPF, which previously held a significant stake in ProSiebenSat.1, are likely to step down from their seats on the supervisory board. If the PPF representatives do not step down voluntarily, MFE will probably enforce their removal. However, the information does not specify who has replaced or will replace these representatives.
The final decision on the board changes will be made by the Berlusconi family's conglomerate. Changes in the ProSiebenSat.1 board may depend on the company's economic development.
ProSiebenSat.1's CEO, Bert Habets, expressed hope for "deeper cooperation" and alignment of visions for the future. The slowdown in the TV advertising business has led to a decline in the revenues and results of private TV groups, and MFE is likely to focus on continuity in the management of ProSiebenSat.1 for the time being.
The Bavarian State Office for New Media is responsible for media supervision over ProSiebenSat.1, and there is currently no legal cause for concern about MFE's dominant influence. However, if the head of MFE engages in politics, as he has not ruled out, the situation would need to be reassessed.
Both ProSiebenSat.1 and RTL have been strengthening national formats for several years. This move by MFE is seen as a strategic move to consolidate its position in the European media market.
