RTL confirms talks on selling stake in France's Groupe M6 (updated)

RTL SA

12/03/2021 07:11

(Adds detail on suitors for M6, 2020 results)
    BERLIN, March 12 (Reuters) - European broadcaster RTL
 RRTL.DE  confirmed on Friday it was exploring the sale of its
controlling stake in French broadcaster Groupe M6  MMTP.PA , as
it reported a 26% slide in annual core profit due to the
coronavirus pandemic.
    "We are currently reviewing such options for our controlling
stake in the French broadcaster Groupe M6, with a view to
creating value for our shareholders," Chief Executive Thomas
Rabe said in a statement.
    Rabe, who also heads RTL's controlling shareholder
Bertelsmann  BTGGg.F , approached potential bidders in January
to explore a sale of M6 as he undertakes a broader restructuring
of the German publishing group.  urn:newsml:reuters.com:*:nL1N2K40TK
    While stating a strong case for consolidation in the
European broadcasting industry, Rabe also said there could be no
certainty that this would lead to any type of agreement or
transaction.
    Conglomerates Vivendi  VIV.PA  and Bouygues  BOUY.PA  are
bidding for Bertelsmann's 48% stake in M6, two sources close to
the matter said on Thursday. The stake has a market value of 1.1
billion euros ($1.3 billion).  urn:newsml:reuters.com:*:nL1N2L92MQ
    French telecoms tycoon Xavier Niel and Czech billionaire
Daniel Kretinsky are interested in the M6 stake, added the
sources, who requested anonymity because the talks are private. 
    Italy's biggest commercial broadcaster, Mediaset  MS.MI , is
also looking into the asset, a separate source said.
    RTL's group revenue fell by 9.5% in 2020 to 6 billion euros,
while core profit declined 26% to 853 million euros. The company
forecast that revenue would grow organically by 8% this year and
for core profit to reach 975 million euros.
    Management will propose a dividend of 3 euros per share,
after cancelling the payout last year.
 ($1 = 0.8369 euros)

 (Reporting by Douglas Busvine; Editing by Riham Alkousaa and
Maria Sheahan)
 ((douglas.busvine@tr.com; +49 30 220 133 562;))