Chinese fund Orient Hontai controls 80% of Mediapro by injecting 620 million

Barcelona, ​​Nov 26 (EFE) .- The investment fund Orient Hontai Capital (OHC), the first private equity group in China, has injected 620 million euros into Mediapro, so that it will control approximately 80% of the capital, according to financial sources consulted by Efe have indicated.

In a statement, Mediapro has reported that 150 of these 620 million will be used to “cover the company’s needs” and another 470 million will be used for “an additional capital increase.”

The group will thus be able to reduce its indebtedness below three times its gross operating profit (ebitda).

The capitalization agreement, which has yet to be ratified in the coming days, contemplates that the founders of the company Tatxo Benet and Jaume Roures continue to lead it.

Although the agreement is still “in the documentation phase”, Mediapro reports that, given this operation, “it has been negotiating for months with its debt holders an agreement that reflects in its conditions the new financial situation” of the group.

According to the company, the capital injection will allow the group “to operate in the market with the same ambition with which it has done so in its more than 25-year history.”

Mediapro plans to invoice more than 1,200 million in 2021 and close the year with an ebitda of 160 million euros, above the 124 million of the budget.

With activity on four continents in the areas of content production, provision of audiovisual services, management of audiovisual rights and development of digital and innovation projects, Mediapro acknowledges in its statement that it has suffered “a strong impact” due to the pandemic, since that “all its business units suffered from the stoppage of activities decreed around the world.”

In February 2018, Orient Hontai became the majority shareholder of Mediapro, with 53.5% of the capital, by buying the shares of Torreal (22.5%), Televisa (19%) and Mediavideo (12%) for 1,016 millions.

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