Paraguay’s state-owned telco Copaco is considering a bond issue in order to finance the proposed acquisition of assets held by Argentine conglomerate Grupo Clarin, including a 50% stake in cable operator Cablevision’s local unit.
Copaco’s president,…
Paraguay’s state-owned telco Copaco is considering a bond issue in order to finance the proposed acquisition of assets held by Argentine conglomerate Grupo Clarin, including a 50% stake in cable operator Cablevision‘s local unit.
Copaco’s president, Mario Esquivel, said in an interview with the Ultima Hora newspaper that Clarin had proposed to sell several assets in the country. Copaco has approached Paraguay’s president, Fernando Lugo, with a plan to acquire a 50% stake in Cablevision in Paraguay.
Esquivel said a bond issue was the most feasible option for financing an acquisition.
Cablevision provides cable TV and internet services. Other Grupo Clarin assets up for sale reportedly include the Fibertel mobile internet business, the broadcasters Teledeportes and Unicanal, and a separate business known as CMM.
Esquivel said that the value of the businesses on offer had not been discussed yet, but noted that the TV football rights held by Clarin alone cost US$100m.
Negotiations between Clarin and potential rival bidders to Copaco were also continuing, he said.
On 10 February, Cablevision announced that it was looking for strategic partners in order to expand its services in Paraguay. It also said it was evaluating actions and investments that would allow it to offer new services.
First reports that Cablevision is up for sale appeared in September 2011. The articles named America Movil and Telecom Argentina as potential suitors. It was said at the time that the asking price for Cablevision is US$180m.
Cablevision denied the reports at the time and said it was not up for sale.
