BSkyB’s proposal to acquire pay-television broadcasters Sky Deutschland and Sky Italia has been overwhelmingly approved by the UK pay-television broadcaster’s shareholders.
In July, BSkyB announced a deal to acquire media company 21st Century Fox’s 100-per-cent stake in Sky Italia and 57.4-per-cent interest in Sky Deutschland, bringing together the leading pay-television businesses in three of Europe’s four biggest markets.
Following a general meeting, BSkyB said the requisite majority of its independent shareholders have backed the project with 96 per cent voting in favour.
BSkyB added: “The company continues to progress the satisfaction of transaction conditions. Prior to today’s shareholder vote the company had received the approval of the European Commission, as well as the Jersey Competition Regulatory Authority and national media authorities in Austria and Italy. Completion of the transaction remains subject to the satisfaction of certain other conditions, including approval of the German state media authorities. Further updates will be made in due course.”
The management and board of Sky Deutschland last month recommended that its shareholders should reject BSkyB’s takeover offer. BSkyB has offered €3.7bn ($4.9bn) for the 57.4-per-cent stake held by 21st Century Fox and €6.75 per share for the outstanding share capital in the broadcaster.
However, the German broadcaster’s management and board said that they believed “the proposed return to the holders of Sky Deutschland shares in the terms of the offer is inadequate from a financial point of view for the concerned holders”.
The total consideration for the acquisition of Sky Italia is £2.45bn (€3.07bn/$4.19bn) with approximately £2.07bn to be paid in cash and the balance to be satisfied through the transfer of BSkyB’s 21 per cent stake in National Geographic Channel International to 21st Century Fox at a value of £382m.