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DGAP-Media / 2019-02-21 / 09:45
*KKR acquires Tele München Gruppe - planned expansion to become leading
independent audio-visual content platform*
· Platform caters to every aspect of the value chain: production,
licensing, and distribution
· Addressing structural changes in media market by focusing on premium
content from Germany
· Aiming to become "go-to"-partner for creatives and clients
· Further acquisitions planned
· New CEO will be media entrepreneur Fred Kogel
Munich, 21 February 2019 - KKR, a leading global investment firm, today
announced the complete acquisition of Tele München Gruppe ("TMG"). TMG is
the largest, independent media company in Germany that combines all parts of
the value chain for audiovisual content on several platforms.
*KKR to build audio-visual content platform *
"Thanks to Dr. Kloiber for the trust in us to further develop this great
company. We are excited to partner with TMG to create something new in the
film and TV business: A platform that covers the entire value chain from
film set to cinema and TV and which we will build-out further through
acquisitions. Hand in hand with experienced industry executives - first and
foremost Fred Kogel, the new CEO of the platform - we will build a platform
in the content market that will advance the German entertainment industry
through creativity, innovative ideas, and passion," said Philipp Freise,
Member and Head of the European Technology, Media and Telecommunications
Industry team at KKR.
Dr. Herbert G. Kloiber, managing partner of TMG, said: "I am proud of what
we have achieved at TMG in the past four decades. Following much
deliberation, I have decided to place my life's work into the hands of KKR
and thus to ensure that TMG, with its wonderful employees, may continue to
grow and succeed."
TMG has a strong market position and is a leading rights purchaser of
international feature films and series with a market-leading library, own
production firms and stakes in the TV channels TELE 5 and RTL II.
*Shifting market conditions and consumer preferences*
Due to its current development, the German market provides an attractive
environment to further expand the independent market-leading platform of TMG
and to refocus the company in times of digital disruption. The platform
operates in one of the largest media markets in the world with sound growth
prospects and a robust demand from established TV stations and new media
providers (e.g. streaming services). At the same time, the market is highly
fragmented with only few players that can deliver all parts of the value
chain. Thus, there is a lack of a preferred partners for creative talents.
With the shift in consumer preferences towards premium, local, but also
international content, there is an ever-increasing need for the creation of
a large independent German content platform.
"The market is changing rapidly and that creates chances for us to play an
active role in shaping our industry. I am very delighted to have KKR, a
strong partner with media experience, by my side to create a future-oriented
content company and who sees the challenges of the market as an opportunity.
Together, we will produce first-class local content and license and
distribute international feature films as well as premium series. At the
same time, we want to be the 'go-to'-partner for top-class creatives, TV
channels and digital platforms in Germany", said Fred Kogel, CEO of the new
platform.
Fred Kogel has more than 25 years of management experience in the media
industry. He was head of entertainment at ZDF, managing director of Sat.1
and Kirch Media as well as CEO of Constantin Film AG and Constantin Medien
AG. He is a proven expert in the areas of TV production and license trading.
Dr. Herbert G. Kloiber will support the further development of the platform
as a close advisor. "I would like to thank all my partners for the trusting
teamwork. Together, we have co-founded the German private TV in 1986, won
Emmys and driven the international development of our industry", said Dr.
Herbert G. Kloiber.
*KKR with a strong media and technology expertise*
KKR has built up and further developed several market leaders in the media
and technology sector and has worked successfully with companies such as
BMG, ProSiebenSat.1, Nielsen, and GetYourGuide. "We have proven in the past
that we can build up successful market leaders in the demanding media
market: At BMG Rights Management, we have built one of the largest music
publishers as a Joint Venture together with Bertelsmann from scratch and
have strengthened its technological focus and international footprint", said
Philipp Freise.
KKR acts as a true partner to the portfolio companies and supports their
growth journey and international expansion with strong financial resources
and an international expert network.
The offer is subject to regulatory approvals and other customary closing
conditions. It is expected to close in April. KKR made its investment from
its European Fund IV. Financial details of the transaction were not
disclosed.
###
*Media Contacts*
*KKR*
Raphael Eisenmann Stephanie Lichtenberg
Hering Schuppener Consulting Hering Schuppener Consulting
Phone: +49 69 92 18 74-86 Phone: +49 69 92 18 74-24
Mobile: +49 160 90 61 11 07 Mobile: +49 171 86 29 942
E-Mail: E-Mail:
reisenmann@heringschuppener.co slichtenberg@heringschuppener.co
m m
*TMG *
Henriette Gutmann
Head of Marketing & Communication
Phone: +49 (0)89 290 93 0
E-Mail: media-relations@tmg.de
*About KKR *
KKR is a leading global investment firm that manages multiple alternative
asset classes, including private equity, energy, infrastructure, real estate
and credit, with strategic partners that manage hedge funds. KKR aims to
generate attractive investment returns for its fund investors by following a
patient and disciplined investment approach, employing world-class people,
and driving growth and value creation with KKR portfolio companies. KKR
invests its own capital alongside the capital it manages for fund investors
and provides financing solutions and investment opportunities through its
capital markets business. References to KKR's investments may include the
activities of its sponsored funds. For additional information about KKR &
Co. Inc. (NYSE: KKR), please visit KKR's website at www.kkr.com and on
Twitter @KKR_Co.
*About TMG *
Tele München Group (TMG) is an integrated media company, which has been
operating successfully in the market for over 45 years and combines all
segments of audio-visual rights' trading and distribution under one roof.
Over the years, the production company has developed into a group of
companies, which today are among the content providers of the next
generation. With some 3,200 active titles in its program portfolio, TMG is
one of the largest license trading companies in Europe and one of the most
respected players in the international market.
Through its subsidiaries, TMG has a presence in film and television
production as well as distribution arms in the theatrical, home
entertainment, TV and VOD segments. Since May 2017 TMG runs its first own
SVOD-Channel FILMTASTIC, which is available on Amazon's platform Prime Video
Channels, on Rakuten TV and on waipu.tv. TMG is a shareholder in the
national free-to-air TV channels TELE 5 and RTL II in Germany, in the
leading US-based production company Storied Media Group and in the digital
production and distribution company Load Studios. In addition, TMG is
majority shareholder in the publicly quoted production company Odeon Film
AG.
End of Media Release
Issuer: KKR & Co. Inc.
Key word(s): TV/Radio
2019-02-21 Dissemination of a Press Release, transmitted by DGAP - a service
of EQS Group AG.
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779559 2019-02-21
(END) Dow Jones Newswires
February 21, 2019 03:45 ET (08:45 GMT)
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