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Televisa Forms Consortium to Bid on Univision

May 12, 2006  •  Post A Comment

Grupo Televisa is teaming up with a group of U.S. based private-equity funds to make bid for the Spanish-language broadcaster Univision, according to a report Friday in The Wall Street Journal.

Citing sources familiar with the situation, the newspaper said Televisa, Mexico’s leading broadcaster, was forming an alliance with private-equity firms Bain Capital, Carlyle Group, Kohlberg Kravis & Roberts and Blackstone Group to make an offer that may have been submitted as soon as Thursday night.

A Univision spokeswoman refused to comment on the report. A Televisa spokesman did not respond to a request for a comment.

Ever since Univision announced earlier this year that it was putting itself up for sale, the company’s stock has surged in anticipation of multiple bids for the No. 1 Spanish-language broadcaster. Offers have been expected from large U.S. media companies and deep-pocketed private-equity firms.

A bid from Televisa had been widely expected, as the company is a major supplier of TV shows to Univision and already owns an 11 percent stake in Univision. Foreign-ownership restrictions have prevented Televisa from taking full control of Univision.

The Journal also reported that another Univision shareholder, Venezuelan media mogul Gustavo Cisneros, has been invited to participate in the bid with Televisa.