Prague, Feb 19 (CTK) – PPF investment group has agreed with Modern Times Group international group on the purchase of 95 percent in Bulgarian media company Nova Broadcasting Group, PPF will also buy the remaining 5 percent from Eastern European Media Holdings, the company said in a press release today.
The transaction is subject to approval from the relevant regulatory authorities, the decision is expected during the first half of 2018.
PPF has not disclosed the price but, according to the press release, MTG evaluates 100 percent in Nova Broadcasting at EUR185m (around Kc4.7bn). MTG wants to use the money from the sale for investment in its North European media house Nordic Entertainment and in business in the digital entertainment area.
Nova is Bulgaria’s biggest commercial media group with viewer rating at 33 percent. It is made up of seven television stations and 19 firms providing online media services. Nova employs around 650 people in Bulgaria.
Its sales reached SEK991m (Kc2.5bn) last year and operating profit was worth SEK195m (Kc500m). MTG owns Nova since 2008.
According to information of Bulgarian media from last week, PPF also vies for Bulgarian Telenor telecommunication operator.
PPF earlier owned domestic commercial television Nova which it sold to CME company in 2005. At the end of last year, information appeared in the media that besides Penta group, PPF is also interested in Czech television Nova. PPF spokeswoman Zuzana Migdalova reacted that the group does not comment on speculations.
PPF of richest Czech Petr Kellner invests in many areas, including banking and financial services, telecommunications, biotechnologies, insurance and real estate.
PPF holds, among other things, a majority stake in domestic telecommunication operator O2, the biggest Internet television provider in the Czech Republic.
PPF is active in Europe, Russia, Asia and North America. In the middle of last year, the group owned assets worth almost EUR35bn (Kc887bn) and had 155,000 employees in the whole world.
Originally Swedish MTG held a half in domestic television Prima from 2005 to 2017. It sold the stake to Denemo Media company of Ivan Zach and Vladimir Komar.
MTG is a leading international group focused on digital entertainment. The brands in MTG’s portfolio include television and radio stations, as well as assets from the digital entertainment are.