What have you always wondered about the economy? Tell us

Univision finally has a buyer

Scott Tong Jun 27, 2006
HTML EMBED:
COPY

Univision finally has a buyer

Scott Tong Jun 27, 2006
HTML EMBED:
COPY

TEXT OF STORY

MARK AUSTIN THOMAS: Here’s another corporate deal that was certainly in the works over the weekend: Univision has finally scored a buyer. The nation’s dominant Spanish-speaking TV network has been on the block since February. This morning we have an agreement — a group of private equity companies is reportedly paying $12.3 billion. Marketplace’s Scott Tong has more.


SCOTT TONG: A group of private equity firms is buying Univision for a reported $12.3 billion.

The acquirers include Madison Dearborn Partners and media mogul Haim Saban, the man behind the Mighty Morphin Power Rangers.

They’re getting a network that’s outscored even ABC and ESPN as far an American World Cup audience.

Going forward, Jonathan Jacoby of bank of America Securities says Univision’s audience will continue to explode.

JONATHAN JACOBY: Univision is very well positioned to benefit from the changing demographic trends in the US, and that is a Hispanic population that continues to outpace the general market population growth. And it’s a segmented demographic that’s becoming wealthier.

Univision’s main draw is Latin soap operas. And it turns out this segment could end with a twist. Rival bidders, including Mexican broadcaster Televisa, may still try to up the price tag.

I’m Scott Tong for Marketplace.

Marketplace is on a mission.

We believe Main Street matters as much as Wall Street, economic news is made relevant and real through human stories, and a touch of humor helps enliven topics you might typically find…well, dull.

Through the signature style that only Marketplace can deliver, we’re on a mission to raise the economic intelligence of the country—but we don’t do it alone. We count on listeners and readers like you to keep this public service free and accessible to all. Will you become a partner in our mission today?

Your donation is critical to the future of public service journalism. Support our work today – for as little as $5 – and help us keep making people smarter.