German TV business Constantin Media has called an end to talks with pay TV operator Sky Deutschland, which wanted to buy its production business Plazamedia and its stake in the Sport1 channel and associated sports marketing business.
The proposed deal was announced in December and would have seen Sky Deutschland acquire 100% ownership of Plazamedia and a 25.1% interest in Sport1/Constantin Sport Marketing from Contstantin Sport Holding for €57.5 million (US$78.8 million).
Plazamedia produces football coverage for the pay TV operator.
Constantin said that the deal was contingent upon factors including a new production agreement being reached between Plazamedia and Sport1, but that has not been achieved.
Bernhard Burgener, CEO of Constantin noted: “After long negotiations we had to come to the result that the conclusion of a new production framework contract with economically acceptable terms for both sides is not possible.”
Constantin said it would rework its revenue and profit guidance in light of the Sky deal falling through and postponed the publication of its interim financials by several days. These statements will now be published on May 23.