Telecinco will be the majority shareholder in the new company and also takes 18% of Digital +

Telecinco televisión, owned by Silvio Berlusconi, has purchased rival private television company Cuatro in Spain, and is also taking a 22% share in the satellite platform Digital +. Both Cuatro and Digital + are part of the Prisa Media Group, owners also of El País.

The 22% share in Digital + is costing 517 million € although a later capital increase will reduce that to 18%. Telecinco will control the new resulting company from another capital increase in which Prisa will take part. The new company will see Telecinco holding 81.7% and Prisa 18.3%.

Shares in both companies were suspended on the Stock Market as the news broke on Friday, but not before the Telecinco share price had risen by 7.34%.

Both channels are to keep their branding and programmes, at least for now.

It follows the deal done earlier this week for a merger between the other two private national channels in Spain, Antena Tres and La Sexta. (Via Original Source)

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