Hong Kong-based Television Broadcasts Ltd (TVB) reveals that media mogul Sir Run Run Shaw has sold his entire 26 percent stake in the region's dominant broadcaster, giving control to an investor group including U.S. private equity firm Providence Equity Partners and local dealmaker Charles Chan.
The Shaw Foundation Hong Kong will also sell its entire 6.23 percent stake in TVB to an unnamed third party.
The deal cuts the ties Run Run Shaw has had with the company. The 103-year-old tycoon has been chairman since back in the early 1980s.
Buyers vying for control of TVB, which distributes Chinese-language programmes globally, included Shanghai Media Group, PCCW Ltd Chairman Richard Li and Henderson Land Development Co Ltd Vice-Chairman Lee Ka-kit.
The winning investor group is led by Charles Chan, chairman of ITC Corp Ltd and a noted Hong Kong dealmaker, who has built a solid reputation for buying local nonperforming listed companies, and reselling them for a higher price after restructuring them.
It also includes Cher Wang, daughter of Taiwan technology billionaire Wang Yung-ching, and global telecommunications and media private equity specialist Providence. Cher Wang is chairwoman of smartphone maker HTC Corp and chipmaker VIA Technologies Inc.
The deal price was not disclosed, but sources said it was about HK$8 billion.
With the current capitalization of HK$20.1 billion of TVB, a 26 percent stake is equivalent to HK$5.22 billion.
The Broadcasting Authority said Wednesday night it had not received any application from TVB regarding the reported change in share holders.
TVB has been a leading local television station for more than 40 years.
