KKR, Permira Selling ProSiebenSat.1 Stake Worth $1 Billion
KKR & Co. and Permira Advisers LLP are selling 25 million shares in ProSiebenSat.1 Media AG (PSM), a stake valued at more than 760 million euros ($1 billion). The stock fell as much as 8.1 percent in Frankfurt today.
JPMorgan Chase & Co. (JPM) is placing the shares in the German broadcaster, the bank said in an e-mailed statement yesterday. The accelerated bookbuild sale was priced at 30.67 euros, the lower end of a price range of 30.67 euros to 31.15 euros that the shares were offered at, said a person familiar with the matter who asked not to be named before an announcement.
KKR and Permira will have about 33 percent of ProSieben’s share capital after the sale, which is being made through holding company Lavena. The private equity investors bought a controlling stake in 2007 for 3.1 billion euros from U.S. billionaire Haim Saban’s German Media Partners LP.
European broadcasters including ProSieben have looked for revenue elsewhere as the region’s TV-advertising market slowed. Based outside Munich, ProSieben is making more shows available on demand via the Internet and producing its own content via its Red Arrow unit. The stock fell 5.1 percent to 30.65 euros at 12:22 p.m., paring its advance to 44 percent this year and giving the company a market value of 6.7 billion euros.
ProSieben, which mainly competes with publisher Bertelsmann SE’s broadcasting unit RTL Group SA in Germany, reported second-quarter sales that exceeded analysts’ estimates as the German television-advertising market improved. Sales for continuing operations rose 11 percent to 624.8 million euros in the three months through June, ProSieben said last month.
Secondary share sales including accelerated book build deals have raised about $61 billion in Europe, the Middle East and Africa this year, compared with $30 billion in the same period in 2012, data compiled by Bloomberg show.
-- With assistance from Sarah Jones in London. Editors: Kim McLaughlin, Robert Valpuesta.
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