WARSAW: Polish commercial broadcaster Polsat signed a preliminary agreement to buy Polskie Media S.A., which broadcasts channels TV4 and TV6, for 99 m PLN (23.6 m EUR).
Grupa Polsat told FNE that the transaction will be finalized by July of 2013.
"The acquisition of TV4 and TV6 channels fits into the strategy taken up by Grupa Polsat in order to strengthen Polsat's market position by increasing the viewership ratings. TV4 and TV6 channels both have licenses to broadcast ground digital television, which is currently the most dynamic branch of the television distribution market," said Dominik Libicki, the President of the Board of Cyfrowy Polsat SA.
Currently Polskie Media is 20 m PLN in debt. In 2012 the company generated income of 76 m PLN of income and had a net loss of 4 m PLN. After adding TV4 and TV6 to the offer, Grupa Polsat will hold a 23.5% share of the audience ratings and a 25.4% share of the advertising market. In order for the transaction to be finalized, the Polskie Media sellers Karswell Limited and Overseas Limited need to buy out minority shareholders and the Polish Office of Competition and Consumer Protection needs to approve sale.