French media conglomerate Vivendi and Italian rival Mediaset have agreed to fill the hatch in a long-running legal battle over a plan to set a European response to U.S. streaming giant Netflix, the two groups said. Stated.
The mediaset is dominated by the family of Italy’s glamorous former Prime Minister Silvio Berlusconi and their financial holding company Fininvest, and Vivendi’s Billionaire Chief is France’s top Raider Vincent Borole.
“We are pleased to announce that Vivendi, Fininvest and Mediaset have reached a global agreement to end the dispute by abandoning all proceedings and claims between the two companies,” the companies said in a joint statement late Monday. Said in.
Under the terms of the proposed partnership, Vivendi, the parent company of French TV channel Canal +, has decided to purchase all of Mediaset’s premium pay-TV channels.
However, Vivendi argued that it had abandoned the deal because it was misunderstood about the true value of Mediaset Premium, and instead took a 28.8% stake in Mediaset in a move that both the Italian government and the Berlusconi family considered hostile. I got.
As a result, Mediaset and Fininvest sued Vivendi in June 2017 for € 3 billion in damages and interest.
The acquisition of Vivendi also ran into problems with Italian telecommunications regulators, who said the French group had violated media ownership rules and ordered them to reduce their stake.
However, in September last year, the European Court of Justice said the Italian regulator’s ruling was contrary to EU law and the complex restrictions on market share that any company could control did not guarantee media multiplicity. ..
And in April of this year, a court in Milan ordered Vivendi to pay Mediaset € 1.7 billion in damages and interest.
As part of a newly discovered ceasefire, Vivendi said through an independent subsidiary called Simon Fiduciaria that it “promised to sell its entire 19.19% stake in Mediaset on the stock market in five years.”
Vivendi also weakened its resistance to Mediaset’s plans to relocate its headquarters to the Netherlands, pooling 15.1% stake in Italian and Spanish activities and the German ProSiebenSAT1 group in a Dutch legal organization called MFE (Media For Europe). I wanted to.
In addition, Vivendi and Mediaset said they had a good neighbor agreement with a five-year free-to-air television and a promise of suspension.
Vivendi, Mediaset End Feud Over Failed Netflix Rival In Europe Source link Vivendi, Mediaset End Feud Over Failed Netflix Rival In Europe