MONTREAL – Quebecor Media’s TVA Group has closed its $118 million acquisition of the assets of film and television-related services provider Vision Globale after obtaining Competition Bureau consent for the transaction.
As Cartt.ca reported last month, those assets include the movie and television studios Mel's Cite du cinema in Montreal and Studios Melrose in Saint-Hubert, facilities used for both local and foreign film and television production.
In the course of its review, the Bureau said that it conducted interviews with numerous market participants, including film and television content producers and various production and post-production service providers. The Bureau issued a No Action Letter (NAL) after reviewing the proposed transaction, noting that it is “unlikely to result in a substantial lessening or prevention of competition due to, among other things, the presence of effective remaining competitors in the marketplace for film and television production and post-production services”.
“The Bureau has concluded that the quality and quantity of the television programs offered to viewers is unlikely to be affected by the transaction”, continues its decision.
In connection with the closing of the Vision Globale acquisition, Quebecor Media said that it has provided TVA Group with a bridge loan of $100 million.
"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", said Julie Tremblay, president and CEO of Media Group and TVA Group, in a statement. "I am confident that our acquisition of Vision Globale's assets will contribute to our goal of creating shareholder value. We are very pleased to welcome Vision Globale's managers and approximately 500 employees to TVA Group."
