Endemol lenders plan to offload USD3.6bn debt at discount price

The banks that financed the EUR2.6bn (USD3.6bn) takeover of Endemol last year are trying to sell their loans at 72.5% of face value.

The banks, led by Goldman Sachs, are planning to sell the loans from the leveraged buyout for a total of EUR2.2bn (USD3.4bn). The deal comes amid a decline in the ratings for Endemol’s flagship show, ‘Big Brother’, says Bloomberg.

Goldman Sachs confirmed that it is seeking to sell the loan for discount, but some of the other banks may hold out for a better price. These include ABN Amro Holding, Barclays Capital, Credit Suisse Group, Lehman Brothers Holdings and Merrill Lynch & Co.

Dutch billionaire and Endemol co-founder John de Mol, Italian prime minister Silvio Berlusconi’s Mediaset and the private-equity arm of Goldman Sachs bought 75% of Endemol in May last year. The deal valued the TV production firm, which is also behind ‘Extreme Makeover’ and ‘Deal or no Deal’, at 14 times its underlying profits.

Published by Reinout te Brake

Reinout is a games investor and strategic business consultant specializing in the games industry. Reinout established his credentials through his own successful investments, start-ups, consulting and (advisory) board positions that led through time to strong bonds with key stakeholders in this fast paced industry. He is known for his outstanding results in the gaming industry. He has worked with many game studios around the globe and is therefore well known in the international gaming industry. Check out his games podcast; https://www.game-consultant.com

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