MEXICO CITY, Sept 14 (Reuters) - Mexico's telecommunications
regulator IFT said on Tuesday it had authorized the plan for
U.S.-based Spanish-language broadcaster Univision to acquire the
content business of Mexico's Grupo Televisa in a deal to create
a new company.
The two companies in April announced a plan to create a new
firm called Televisa-Univision https://www.reuters.com/business/media-telecom/mexicos-televisa-says-merge-content-with-univision-new-media-company-2021-04-13,
which will feature Spanish-language video content from both
broadcasters, including soap operas known as telenovelas, sports
The IFT said in a statement its analysis did not find
"No anti-competitive effects derived from the transaction
are expected in these coinciding activities of Univision
Holdings and Grupo Televisa, largely due to the marginal
participation of Univision Holdings in Mexico," the IFT said.
The transaction, partially financed by a $1 billion Series C
preferred investment led by the SoftBank Latin American
Fund, with participation from ForgeLight, Google and
The Raine Group, is expected to close this year.
The deal is subject to regulatory approvals in the United
States and Mexico, as well as Televisa shareholder approval.
A spokesperson for Televisa and a media representative for
Univision both declined to comment.
Televisa-Univision is planning to launch a global streaming
platform to serve Spanish speakers, which will take on
established rivals including Netflix Inc and Disney
The streaming service will first launch in the United States
and Mexico before expanding elsewhere in Latin America and
company officials said.
Televisa has previously said it will hold a 45% equity stake
in Televisa-Univision. It will also continue to own and operate
izzi Telecom, Sky Mexico, and other businesses, as well as its
main real estate production facilities, the broadcasting
licenses and transmission infrastructure in Mexico.
(Reporting by Cassandra Garrison
Editing by Alistair Bell and Mark Potter)