SBS Broadcasting Acquires 100% Ownership of Prima TV in Romania
June 14 2005 - 8:32AM
PR Newswire (US)
SBS Broadcasting Acquires 100% Ownership of Prima TV in Romania
LUXEMBOURG, June 14 /PRNewswire-FirstCall/ -- SBS Broadcasting S.A.
(Nasdaq: SBTV; Euronext Amsterdam N.V.: SBS) announced today that
it has increased its ownership in Prima TV in Romania to 100%,
following the purchase of the remaining 14% equity stake from its
three former Romanian minority partners for euro 2.2 million. The
acquisition follows SBS's March 2005 ownership increase in Prima TV
to 86% when it acquired an additional 48.8% equity interest. SBS
had owned a minority stake in Prima TV since July 2001 and
originally invested in Prima TV in March 2000. In March 2005, SBS
also acquired Romania's leading FM radio station Kiss FM and FM
radio station Radio Star. SBS has since appointed an experienced
executive team to manage its Romanian television and radio
operations, with Christoph Buerge becoming Chief Operating Officer
and Peter W. Thrane becoming Chief Financial Officer. Commenting on
the announcement, Markus Tellenbach, Chief Executive Officer of SBS
Broadcasting, said: "The acquisition of the remaining equity in
Prima TV allows us to consolidate our strong presence in one of
Europe's fastest growing markets. With full ownership of Prima TV
and one of Romania's leading radio groups we are now able to merge
the companies and their operations which will position us to
capitalize on the synergies of operating an integrated Romanian
broadcast platform." Prima TV was established in 1997 as one of the
first commercial television stations in Romania. Prima TV reaches
89% of the Romanian urban population through terrestrial and
satellite-to-cable distribution. Prima TV targets the 15-44,
educated, urban audience. During May 2005, Prima TV was the fourth
most watched commercial television station in Romania, with an
average prime time viewing share of 7.6%. Romania is the second
most populous country in Central Europe, with over 21 million
people, and one of the Europe's fastest growing economies, with
estimated real GDP growth of over 7% in 2004. Romania is expected
to join the European Union in 2007. Forward-Looking Statements Some
of the statements in this press release are forward-looking,
including, without limitation: the statement that with full
ownership of Prima TV and one of Romania's leading radio groups
were are no able to merge the companies and their operations which
will position us to capitalize on the synergies of operating an
integrated Romanian broadcast platform; and that Romania is
expected to joint the European Union in 2007, in particular. In
addition, we may make forward-looking statements in future filings
with the Securities and Exchange Commission, and in written
material, press releases and oral statements issued by us or on our
behalf. Forward-looking statements include statements regarding our
intent, belief or current expectations or those of our officers
(including statements preceded by, followed by or that include
forward-looking terminology such as "may", "will", "should",
"believes", "expects", "anticipates", "estimates", "continues" or
similar expressions or comparable terminology) with respect to
various matters. It is important to note that our actual results in
the future could differ materially from those anticipated in these
forward-looking statements depending on various important factors.
Some of these factors include: the effects of, and changes in,
government policy and regulatory requirements; the effects of
changes in general economic environment; the effects of changes in
the advertising spending growth; the effects of competition; and
our success at managing the risks that arise from these factors. A
more detailed discussion of some of these risks is set forth in
SBS's annual report on Form 20-F for the year-ended December 31,
2003. All forward-looking statements in this press release are
based on information available to us on the date hereof. We do not
undertake to update any forward-looking statements that may be made
by us or on our behalf, in this press release or otherwise. SBS is
a European commercial television and radio broadcasting company
with operations in Western and Central Europe. Countries where SBS
currently has broadcasting assets include: Belgium (Flanders),
Denmark, Finland, Greece, Hungary, The Netherlands, Norway, Romania
and Sweden. For further information visit:
http://www.sbsbroadcasting.com/. DATASOURCE: SBS Broadcasting S.A.
CONTACT: Investors, Michael Smargiassi, or Jon Lesko,
+1-212-986-6667, both of Brainerd Communicators; or Media, Jeff
Pryor of Pryor Associates, +1-818-338-3555; or Catriona Cockburn,
of Citigate Dewe Rogerson, +44-207-282 2924, all for SBS
Broadcasting S.A. Web site: http://www.sbsbroadcasting.com/
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