Telecom Media Agrees on La7 TV Unit Sale to Cairo Communication
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Telecom Italia Media SpA agreed to sell its La7 television unit to Cairo Communication SpA for 1 million euros ($1.3 million), rejecting a rival offer from a private-equity fund led by Claudio Sposito.
The television company will be recapitalized before the sale and Telecom Italia SpA, the controlling investor in Telecom Italia Media, agreed to waive 100 million euros of receivables owed by its media unit, according to a stock-exchange statement. The capital injection will allow La7 to have shareholder equity of 138 million euros.