Following Competition Bureau consent
TVA Group closes acquisition of Vision Globale assets
Montreal, December 30th, 2014 — TVA Group, a subsidiary of Quebecor Media, announced today that it has closed the acquisition of the assets of Vision Globale after obtaining Competition Bureau consent for the transaction.
Vision Globale has distinguished itself in the film and television industry with its soundstage and equipment leasing services and film and television post-production services. The acquired assets include the movie and television studios Mel’s in Montreal and Melrose in Saint-Hubert, facilities that are used for both local and foreign film and television production, including American blockbusters.
“This acquisition is consistent with our strategy of investing in growth segments that will enable us to diversify our revenue streams, which are heavily dependent on the advertising carried by our over-the-air television network. I am confident that our acquisition of Vision Globale’s assets will contribute to our goal of creating shareholder value,” said Julie Tremblay, President and CEO of Media Group and TVA Group. “We are very pleased to welcome Vision Globale’s managers and approximately 500 employees to TVA Group.”
Bridge Facility provided by Quebecor Media
In connection with the closing of the Vision Globale acquisition, Quebecor Media provided today TVA Group with a bridge loan of $100 million under the terms of a credit agreement entered into on the date hereof (the “Bridge Facility”). The Bridge Facility is unsecured. It matures 90 days following the date hereof, with an option to renew for a further 90-day period at the request of TVA Group, and provides for voluntary prepayments without premium or penalty. The Bridge Facility, or the advance thereunder, as the case may be, is not: convertible, directly or indirectly, into equity or voting securities of TVA Group or any of its subsidiaries, or otherwise participating in nature; or repayable as to principal or interest, directly or indirectly, in equity or voting securities of TVA Group or any of its subsidiaries. The Bridge Facility was approved by the board of directors of the TVA Group and by the independent members of the board, having determined that the Bridge Facility was obtained by TVA Group on reasonable commercial terms that are not less advantageous to TVA Group than if the Bridge Facility was obtained from a person dealing at arm’s length with TVA Group.
This press release contains certain forward-looking statements. All statements other than statements of historical fact included in this press release may be forward-looking statements. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by these forward-looking statements. Forward statements in this press release include statements relating to: i) TVA Group’s strategic plan and its implementation; ii) business strategies and management strategies and the potential impact and benefits of the transaction; and iii) the objectives of the transaction. We consider the assumptions on which these forward-looking statements are based to be reasonable, but caution the reader that these assumptions regarding future events, many of which are beyond our control, may ultimately prove to be incorrect since they are subject to risks and uncertainties that affect us. Due to such risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities legislation. All amounts are in Canadian dollars.
About TVA Group
TVA Group, a subsidiary of Quebecor Media, is an integrated communications company engaged in the creation, production and distribution of audiovisual products, and in magazine publishing. TVA Group is the largest broadcaster of French-language entertainment, information and public affairs programming and publisher of French-language magazines in North America, and one of the largest private-sector producers of French-language content in North America. Its Class B shares are listed on the Toronto Stock Exchange under the ticker symbol TVA.B.