Univision sold for $13.7 billion to investor group

Univision Communications, the leading Spanish-language media company in the U.S., and a group including Madison Dearborn Partners, Providence Equity Partners, Texas Pacific Group, Thomas H. Lee Partners and Saban Capital Group, today announced they have signed a definitive agreement under which the group will acquire Univision for $36.25 per share in cash. The transaction is valued at approximately $13.7 billion, including the assumption of $1.4 billion in debt.

A. Jerrold Perenchio, Chairman, President and Chief Executive Officer of Univision, said, “I am delighted to announce this blockbuster transaction, which provides a unique opportunity to deliver substantial current value to our shareholders, while establishing a partnership for Univision and its employees with five of the world’s preeminent investment firms. This blue-chip group brings to Univision in-depth knowledge of the rapidly changing media landscape and an exceptional track record of supporting growth and enhancing value. The outstanding cash flow multiple our shareholders will receive reflects the extraordinary growth of the Hispanic population, Univision’s unique bond with its community and our ability to deliver tremendous audiences to our mainstream advertising partners. I am proud of all the Univision employees who have, along with our partners Televisa and Venevision, contributed to the success and growth of this great company. Univision has a very bright future.”

Univision is the nation’s fastest-growing media company. Serving the burgeoning Hispanic community – which is growing five times faster than the general population — Univision has industry-leading market share in its television, radio, music and online businesses. With an unmatched array of assets and a unique connection with Hispanic Americans, Univision is ideally positioned to reap additional benefits from the continued rapid growth of the Hispanic population and increased advertising in Spanish-language media.

Univision’s assets include the Univision Network, which ranks as the #1 Spanish-language television network and fifth largest network in the country overall regardless of language. Its sister broadcast network TeleFutura ranks as the #2 Spanish-language broadcast network in key dayparts and demographics, and its cable network Galavision has been the premier Spanish-language cable network for the past decade. Univision’s television group is the second largest station group in the U.S. In addition, Univision’s radio stations make up the nation’s leading Spanish-language radio group, Univision Music Group is the #1 Latin music company in the U.S., and Univision.com attracts an average of nearly 9 million monthly unique visitors, making it by far the #1 internet portal among Hispanics in the country.

The acquiring group said in a joint statement, “Univision is truly a one-of-a-kind property. It is an outstanding media brand with exceptional positions in the fastest-growing markets in the country, world-class assets, strong management, popular programming and unmatched ratings. This transaction presents a unique opportunity to contribute to and participate in the continuing growth of the clear leader in Spanish-language media and to further the company’s commitment to serving the Hispanic community. Univision has tremendous long-term growth opportunities in each of its businesses and we look forward to working together to build on its success and enhance its value in the years ahead.”

The merger agreement has been approved by the Board of Directors of Univision and is not contingent on financing. The transaction is subject to the approval of Univision shareholders, regulatory approvals and customary closing conditions, and is expected to close in the Spring of 2007.

Credit Suisse Securities (USA) LLC and Deutsche Bank as well as Bank of America and Wachovia are acting as financial advisors to the buying group. Weil, Gotshal & Manges LLP and Hogan & Hartson LLP are serving as its legal advisors. UBS Investment Bank is acting as financial advisor to Univision and Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal advisor to Univision.

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