Viacom has announced the acquisition of Argentinian free-to-air channel Telefe (Television Federal) from Telefonica for USD 345 million, confirming an earlier report. The US media giant is said to have outbid Time Warner and the Cisneros Group to acquire the only free-to-air broadcaster that Telefonica still owns, still the most-watched channel in the country with an audience share of around 33 percent in 2016, slightly ahead of rival Canal 13, owned by the Clarin group. Viacom said the deal further strengthens its position in Argentina and Latin America, where Telefe will join its existing pay-TV networks including MTV, Nickelodeon, Comedy Central and Paramount Channel. The channel will be led by Pierluigi Gazzolo, president of VIMN Americas.
Telefonica added that the sale takes it one step further in its asset portfolio management, based on value creation and strategic positioning. It also said the transaction serves to complement its objective to reduce debt in a scenario of increasing cash regeneration.
