TF1 buys 30% of M6’s shares for the sum of 641 million euros. Thanks to this merger, Bouygues and RTL Group hope to resist the boom in VOD services such as Netflix or Disney +. The buyout has yet to be considered by the media regulators.
“ M6 and TF1 merge and the Bouygues group becomes the majority shareholder of the new entity with 30% of the shares, ahead of RTL Group” explains M6. Bouygues has recovered the shares held by Bertelsmann, the German group behind RTL Group. Martin Bouygues’ company therefore holds the majority of the shares. In order to avoid regulatory obstacles, Bouygues is not buying the 46% in possession of RTL Group . The latter will retain 16% of M6’s shares.
TF1 AND M6: AN EFFECTIVE MERGER AT THE END OF 2022
In detail, the current CEO of M6 will head the entity born from the merger in place of Gilles Pélisson, the director of TF1. According to Thomas Rabe, CEO of Bertelsmann, the merger of TF1 and M6 will make it possible to react to the growth of streaming services such as Netflix, Disney + or even Amazon Prime Video . The two parties are teasing a “ most diversified offer in TV, radio, digital, production of content and technologies, for the benefit of all audiences and the French audiovisual industry”.
This merger, which looks like a takeover, is the culmination of several weeks of negotiations between the two parties. However, this merger project will not be immediately effective . “ The final completion of the operation is expected by the end of 2022 ″ specify the two groups. Indeed, the parties must obtain the agreement of the Competition Authority and the Superior Audiovisual Council (CSA).
Note also that the regulations limit the number of authorizations to broadcast over the airwaves to 7 for a single television group. Once merged, M1 and TF1 will accumulate a total of 10 channels. It will therefore be imperative that this new entity separate from three chains.