Sweden’s Modern Times Group (MTG) has completed the acquisition of the remaining 49% of five-year-old Danish joint-venture company TV2 Sport.
MTG acquired the stake from TV2 Denmark, which is exiting the joint-venture, with regulatory approval coming from the Danish Competition & Consumer Authority.
The payment for the shares comprises an undisclosed cash sum and the transfer of the exclusive Danish broadcasting rights to the European Handball Championships for 2016 and 2018 from MTG to TV2 Denmark.
MTG will now assume full management and operational control of TV 2 Sport and fully consolidate the results of the business in the Viasat Broadcasting accounts with effect from January 1.
“This consolidation is not included in our previously provided full year 2013 earnings outlook statement for our Nordic pay-TV operations and will increase segment sales in 2013,” said Jørgen Madsen, president and CEO of MTG.
“It is clear that our pay-TV sports channel and content offering, when also combined with the sports coverage on our free-TV channels including TV3+, is the most comprehensive in the market and is available to subscribers on multiple TV distribution platforms.”
TV2 Sport reported total revenues of DKK347.7m (US$61.6m) for 2011 and DKK256.3m for the first nine months of 2012, with total operating profits (EBIT) of DKK16.8m and DKK22.6m for the two respective periods.