UMG Parent Rumored To Consider Spin Off Of NBC
September 22, 2009 at 4:25 AM (PT)
VIVENDI SA, owner of UNIVERSAL MUSIC GROUP, the world’s largest music company, may decide at an OCTOBER 14th board meeting to sell its stake in NBC UNIVERSAL, reports BLOOMBERG, which writes "VIVENDI may choose to sell the 20% stake because the unit isn’t performing as well as the company’s majority-owned operations, said the person, who requested anonymity because the discussions aren’t public. GENERAL ELECTRIC owns 80% of NBC."
"VIVENDI now has some potential alternate uses for capital, including the tender for GVT and the buyout of minorities at CANAL PLUS," said GABELLI & CO. analyst CHRIS MARANGI. CANAL PLUS is Vivendi’s pay-TV unit.
"Our strategy is to consider this asset as non-core," VIVENDI CEO JEAN- BERNARD LEVY said of NBC on a conference call with analysts SEPTENBER 1st.
VIVENDI rose 7 cents to $20.71 euros YESTERDAY (9/21) in PARIS trading and has lost 11% this year.
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