Shares in Mediaset soar on report of Vivendi interest (updated)
27/04/2015 12:18
* French publication says Vivendi looking at buying Mediaset
* Traders say report boosting Mediaset shares
(Adds details)
MILAN/PARIS April 27 (Reuters) - Shares in Mediaset MS.MI
rose as much as 7 percent in brisk trade on Monday with traders
citing a report that French media group Vivendi VIV.PA would
be interested in buying Italy's biggest private commercial
broadcaster.
French publication La Lettre de l'Expansion said on Monday
that Vivendi is "actively looking" at a purchase of Mediaset,
which is owned by former Italian prime minister Silvio
Berlusconi, as well as Europacorp ECP.PA , one of the leading
independent film studios in Europe.
The report added that Berlusconi would like to refocus his
media business on books and press through his publishing company
Mondadori MOED.MI .
Shares in Mediaset were up 6.4 percent at 4.6 euros by 1036
GMT after being briefly suspended from trade for excessive gains
and reaching their highest in seven days. Mediaset has a market
capitalisation of more than 5 billion euros ($5.4 billion).
Vivendi and Mediaset declined to comment while no one could
be reached for comment at Fininvest, the holding company that
controls Mediaset.
Traders said the shares had earlier also been boosted by a
Reuters report that Mediaset had been approached by the Italian
unit of Sky Plc SKYB.L to buy its pay-TV business Mediaset
Premium. Vivendi and Qatar's Al Jazeera are also said to be
interested in the unit, which last year won exclusive
broadcasting rights for the Champions League in Italy through
2018. ID:nL5N0XL4JR
There has already been intense speculation about how Vivendi
might deploy its 15 billion euro-cash pile to become a European
powerhouse in the media industry after selling its French,
Brazilian and Moroccan telecoms interests and other businesses
deemed to be non-core.
Mediobanca Securities said in a report this month that
Mediaset could be an interesting strategic option for Vivendi,
which is also set to become the biggest shareholder in Italy's
biggest phone company, Telecom Italia TLIT.MI , with an 8.3
percent voting stake.
($1 = 0.9224 euros)
(Reporting by Massimo Gaia and Alexandre Boksenbaum-Granier;
Writing by Silvia Aloisi; Editing by Greg Mahlich)
((silvia.aloisi@thomsonreuters.com))
Keywords: MEDIASET SHARES/