Cable Operators

FINANCE QUICK HITS

10/11/2010 12:01 AM Eastern

Televisa Invests $1.2 B in Univision

NEW YORK AND MEXICO CITY — Mexican programming giant
Grupo Televisa has agreed to invest $1.2 billion in Univision
Communications
in return for a 5% stake in the Spanishlanguage
broadcaster and a new licensing agreement, a
move that appears to end what has been a long-standing
dispute between the two companies.

According to the deal, Televisa
will invest $1.2 billion in Univision
and contribute its 50% stake in
programmer TuTv for a 5% equity
stake and debt that is convertible
into an additional 30% interest in
the broadcaster. Televisa will receive
three Univision board seats.

Univision receives the rights to
key Mexican soccer games, beginning
in 2011 with select teams and
expanding to all teams to which
Televisa holds rights in 2012.

The deal appears to patch up
what has been several years of tension between the two
television giants. Televisa filed a lawsuit in 2006 to get out
of its programming deals with Univision, which is heavily
dependent on the former’s novelas for its programming
lineup.

“We are extremely pleased to have reached this important
agreement, which fully aligns the interests of Univision
and Televisa for the long-term as both companies work
to further serve the substantial growth opportunities in
Spanish-language media in the United States,” Univision
chairman Haim Saban said in a statement.

ShenTel to Buy Suddenlink Subs

EDINBURG, VA. — Shenandoah Telecommunications (Shen-
Tel), a telephone and cable company based here, said
it has signed an asset purchase agreement to purchase
small cable systems in West Virginia and Maryland from
Suddenlink Communications.

Terms of the deal were not disclosed. The systems are
located in Salem, W. Va., and Oakland, Md., and pass a
total of 7,000 homes. The deal is expected to close within
90 to 120 days. New York-based cable and telecommunications
investment banker Waller Capital acted as Shen-
Tel’s exclusive adviser.

This is the second cable acquisition ShenTel has made
in the past two months. In August, it completed the $148
million acquisition of Jet Broadband, with about 66,000
revenue generating units (a combination of voice, video
and data subscribers) in southern Virginia and southern
West Virginia.

CBS to Sell $600M in Notes

NEW YORK — CBS Corp., the parent of the CBS Television
Network
and cable channels Showtime and CBS College
Sports
, said it would offer $600 million in senior notes to
retire debt and for general corporate purposes.

The notes will be offered in two tranches — $300 million
in 4.3% senior notes due 2021 and $300 million in
5.9% senior notes due 2040. CBS said it will use the proceeds
to fund its partial cash tender offer for up to $250
million in 8.625% senior debentures due 2012 and $563
million in 7.25% senior notes due 2012, and for general
corporate purposes.

Citigroup Global Markets, Credit Suisse Securities, JP Morgan
Securities, Morgan Stanley, Goldman Sachs and Wells
Fargo Securities were joint book managers for the offering.

March