TMCnet Feature
November 07, 2011

Time Warner Bids 1 Billion Euros for Endemol

By Rachel Ramsey, TMCnet Contributor

Time Warner Inc. made an offer of about 1 billion Euros ($1.4 billion) to acquire Endemol (News - Alert) NV, the Dutch producer of hit reality shows like “Big Brother” and “Deal or No Deal.”

Endemol spokesman Charlie Gardner said the company is seeking to reorganize debt that was incurred when Mediaset, Goldman Sachs, and Dutch private equity firm Cyrte Investments bought it for about $3.6 billion in 2007.

Earlier this year, Endemol said it’s exploring options to restructure debt because widening losses may cause it to breach covenants on its loans. The company won approval from lenders to extend the waiver of loan terms for a second time until mid-November.

Time Warner’s (News - Alert) bid includes debt and it is ready to put in working capital of 100 million Euros, according to an anonymous source.

“This doesn’t change anything, we remain focused on reaching a solution with lenders,” Endemol said in a statement. “Those discussions continue to make good progress and we are confident that an agreement will put the business on a firm financial footing and strengthen Endemol’s prospects for the future.”

In recent news, Time Warner has confirmed a massive Internet outage, affecting millions of Time Warner customers across the nation. The outage occurred just after 9 a.m. EST and lasted anywhere between 30 seconds and 20 minutes.

Rachel Ramsey is a TMCnet editorial assistant, contributing news items and feature articles on a variety of communications and technology topics. Rachel has previously worked in PR and communications at The Wriglesworth Consultancy, an award-winning London PR firm. She has also contributed to the creative services department at CBS 3 and The CW Philly in Philadelphia. To read more of Rachel's articles, please visit her columnist page.

Edited by Jennifer Russell
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