SBS Broadcasting Announces Closing Date for Acquisition by Permira and KKR
October 11 2005 - 4:44PM
PR Newswire (US)
LUXEMBOURG, Oct. 11 /PRNewswire-FirstCall/ -- SBS Broadcasting S.A.
(Nasdaq: SBTV; Euronext Amsterdam N.V.: SBS) announced today that
the proposed acquisition of substantially all of the assets of SBS
by PKS Media S.a.r.l, a company controlled by funds advised by two
leading private equity firms, Permira and KKR, has been scheduled
by the parties to close on October 18, 2005. PKS Media S.a.r.l,
acting directly and through its subsidiaries, will acquire the
company's business, assume the SBS name and continue the business
and operations of the company. Following the closing, SBS
Broadcasting S.A. will be renamed "TVSL, societe anonyme" and enter
into a liquidation process under Luxembourg law in order to
distribute the proceeds of the asset sale and certain other amounts
to SBS shareholders and holders of SBS stock options. SBS expects
that the liquidation distribution will be approximately euro 46 per
share and will occur in the first half of November. The final
amount to be distributed will depend on exchange rates and the
amount of currency hedging proceeds received by SBS at closing and
the other factors described in the Shareholders' Circular
distributed to shareholder on September 1, 2005. The record date
for the liquidation distribution will be the closing date, October
18, 2005, and each SBS shareholder of record as of the record date
will be entitled to receive payment of the liquidation
distribution. In order for all trades in SBS shares to settle on or
prior to the record date, as of the close of trading on October 13,
2005, three business days prior to closing, trading in SBS's shares
on Euronext Amsterdam will be suspended and SBS's shares will be
delisted from the Nasdaq National Market. Trading in SBS's shares
will remain suspended on Euronext Amsterdam until the delisting of
SBS's shares on that exchange, which is expected to occur after
closing. SBS will offer each shareholder of record on the record
date an option to elect to receive the U.S. dollar equivalent in
cash of the euro amount such shareholder is entitled to receive in
the liquidation distribution. This euro amount will be converted
into U.S. dollars at a market-related rate obtained by SBS at the
time of conversion (net of expenses of the conversion of euros into
U.S. dollars). SBS will announce the date of the liquidation
distribution on or shortly after closing. Holders of options are
expected to receive their option cancellation payments on the same
date as the liquidation distribution. Forward-Looking Statements
The statements in this press release regarding the expected closing
date, record date and date of delisting, as well as the timing for
the liquidation distribution, are forward-looking. These dates
could change, and the timing for the liquidation distribution may
change. If any of these dates change, then SBS will make an
announcement. For information regarding factors that could affect
the closing of the transaction, the distribution to shareholders
and payments to option holders, please see the Shareholders'
Circular, which is available on SBS's website at
http://www.sbsbroadcasting.com/. About SBS Broadcasting S.A. 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, both of
Brainerd Communicators, +1-212-986-6667; Press: Jeff Pryor of Pryor
& Associates, +1-818-338-3555, Mobile: +1-818-730-0770, all for
SBS Broadcasting S.A. Web site: http://www.sbsbroadcasting.com/
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