Spanish media empire Grupo Prisa is pushing ahead with flotation plans and will offer up to 20% of its shares on June 12, according to reports in Prisa-owned financial newspaper Cinco Dias.
Sources at the Group declined to comment while the operation awaits approval from the national market commission (CNMV).
Prisa had previously announced in March the flotation of up to 25% of its shares. Analysts debated whether the Group would go ahead with its plans while other media and Internet companies in Spain - and the rest of Europe - have postponed their flotations this summer due to volatile stock markets. Most notable among postponed flotations was that of Telefonica subsidiary, Telefonica Media, originally also planned for June.
With an eye to adding bulk to its offer, Prisa shareholders earlier this month approved an amplification of capital through the revaluation of shares, and the promise to add 25 new shares worth Euros10 for every old one in circulation.
In March, Prisa bought out Santillana de Ediciones, one of the largest publishing houses in the Spanish-speaking market. The Santillana purchase was seen as a content boon for Prisa's already hefty portfolio, which encompasses among other interests audiovisual group Sogecable, national daily newspapers El Pais and Cinco Dias, news channel CNN+ and Cadena SER radio. Sogecable houses film and TV interests Canal Plus Espana, Canal Satelite Digital, Sogepaq, Sogetel and Warner Sogefilms.
Sogecable launched an IPO separately last July, resulting in a rise in consolidated shareholder equity in the company from $182m (pts29,168m) in September 1998 to $382m (pts61,104m) in September 1999. Prisa reported net profits in 1999 of $91.9m (pts14,241m), up 73% over the previous year.