(DealWatch) June 3, 2010 – The sale of Chilevisión, the Chilean TV station owned by President Sebastián Piñera, to the investment fund Linzor Capital Partners, L.P. has collapsed, according to a statement from Piñera’s holding company Bancard Inversiones Ltda.
The deal to sell 22.2mn Chilevisión shares or 100% of the company to Linzor for a price of USD 130mn was announced just three weeks ago by Bancard, but the firm has now stated that “Linzor has told Bancard of its decision not to persevere in the formalization of the definitive contract to acquire Chilevisión.”
“After the end of the negotiations with Linzor, Bancard has contracted a specialized financial institution to organize a sale process to complete the sale of the stake in Chilevisión in the shortest time possible,” the statement read.
Bancard has not made any explanation of the failure of the deal with Linzor, but sources have claimed that Linzor triggered a clause in the agreement signed over the broadcaster’s concession, which is due to be renewed for another 25 years in 2018.