The first adverse report from the competition authorities, but the chain maintained their project
A first report was issued by the competition authority’s investigation service and isn’t “not favorable” As for the proposed merger between TF1 and M6, which might create a French tv big, on Tuesday 26 July the chief of M6, Nicolas de Tavernost, introduced the outcomes of his group alongside the publication.
The report particularly mentions “Significant Competition Concerns” In the tv business, talked about Mr. de Tavernost. “The nature and extent of the treatment required in the inquiry report would render the scheme irrelevant to the events, on this case, abandoning it”.Then collectively TF1, M6 and their respective shareholders – the Bouygues and RTL teams – introduced in a number of press releases.
This association “It is not going to be doable to assemble a coherent industrial project.”, emphasised Mr. de Tavernost, proposed as the future CEO of the new group. The two channels are relying on the merger to weigh towards new digital gamers like Netflix, that are consuming away at conventional tv viewing time, elevating the value of audiovisual packages and now investing in the promoting market.
A closing resolution is anticipated in October
TF1 and M6 requested the Autorité de la concurrence to take into consideration these new international gamers and contemplate their market shares. Both events initially hoped “unity” Estimated between 250 and 350 million euros. Channels are listening although “Maintain the project because it was offered” And to answer the group inside three weeks, stated the chairman of the board of administrators of M6.
On September 5 and 6 the events involved will probably be heard by the school of the Competition Authority, stated the press launch, TF1’s largest shareholder, and RTL, which owns M6. The closing resolution, anticipated in October, will probably be as much as the school, which isn’t required to observe the recommendation of investigative companies
The merger of TF1 and M6 will create a French big in the markets for audiovisual rights, channel distribution and tv promoting, with round 75% of French turnover in the latter sector. Announced in May 2021, the project is anticipated to be finalized in early 2023 after Arcom (ex-CSA) will get the contract scheduled for November.
The newest blended outcomes for the M6 group
The two teams have already begun to organize themselves to permit their merger. In explicit, they introduced the sale of the TFX and 6ter channels to the Altice Group and the launch of the TNT frequency of the Paris premiere to adjust to media focus guidelines. TF1 for its half has withdrawn from a sure variety of actions related to advertising and marketing and on-line press.
M6 Group offered blended outcomes for the first half on Tuesday. Its turnover, at 664 million euros, elevated by 3% in a 12 months thanks specifically to the resumption of cinema operations, commented Mr. de Tavernost. But promoting income, secure at 530 million euros from January to June, presents much less encouraging prospects for the second half of the 12 months.
This is partly defined by the absence of sporting occasions in the summer season in comparison with earlier years, when M6 broadcasts eight Euro 2020 soccer matches, and by the financial context which led some advertisers to “ready”, stated the chief. Cost will increase linked to merger initiatives and the discount of an audiovisual tax credit score additionally weighed on the group’s web revenue, which fell 22.4% to 92.5 million euros in the first half.