European broadcasting group RTL blamed Greece’s economic difficulties for its decision to sell its controlling stake in Greek commercial broadcaster Alpha back to businessman Dimitris Contominas. Alpha broadcast coverage of Formula One motor-racing in the 2010 and 2011 seasons.
RTL’s sale of its 70-per-cent stake to Contominas, who already holds the remaining 30 per cent of the business, is expected to be completed in the first quarter of 2012, subject to regulatory approval. Contominas sold the controlling stake to RTL in 2008 for €125.7m ($160m), but financial details of the new deal were not disclosed.
The Greek advertising market has slumped by 50 per cent and Alpha has been forced to cut costs by 45 per cent, since RTL bought the stake.