Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Liberty Global Raises Stake in Netherlands’ Ziggo to 28.5%

July 27 (Bloomberg) -- John Malone’s Liberty Global Plc raised its stake in Dutch cable-television operator Ziggo NV to 28.5 percent from 18.2 percent, which it said was for strategic reasons.

Liberty Global bought 17.5 million additional shares in the Utrecht, Netherlands based company in connection with a hedging transaction related to existing Ziggo shares, according to an SEC filing published late yesterday. It raised the stake in the firm out of strategic considerations, Amsterdam-based spokesman Bert Holtkamp said by telephone today. He declined to comment on whether Liberty Global plans to increase its holding further.

Malone’s cable giant, whose UPC Netherlands unit operates in Dutch regions where Ziggo doesn't, has been acquiring European assets to expand in the continent’s pay-TV market. The Englewood, Colorado-based company agreed earlier this year to buy the U.K.’s Virgin Media Inc. for $16 billion. This month, Malone said he’s out of the race for Kabel Deutschland Holding AG and will look to southern Europe for opportunities when the economy there starts improving.

Ziggo said in a statement that it “will continue to act in the best interests of its stakeholders in assessing steps made by Liberty Global while continuing to focus on executing” its own strategy. Martijn Jonker, a spokesman for Ziggo, declined to comment further.

The purchase was financed through a loan linked to the hedging transaction that is secured by Ziggo shares, Liberty Global said in the SEC filing.

Based on yesterday’s closing share price, Ziggo had a market capitalization of 5.59 billion euros ($7.4 billion), valuing Liberty’s stake at 1.59 billion euros. The shares have risen 19 percent in the past 12 months.

Liberty Global first bought a 12.7 percent stake in Ziggo in March. The Dutch company started trading in Amsterdam last year after Warburg Pincus LLC and Cinven Ltd. sold part of their stakes. They disposed of their residual holdings in April.

To contact the reporter on this story: Maud van Gaal in Amsterdam at mvangaal@bloomberg.net

To contact the editor responsible for this story: Frank Connelly at fconnelly@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.