CanWest to buy Alliance Atlantis
By Adnews Staff
CanWest Global Communications and Goldman Sachs Capital Partners have entered into a definitive agreement to acquire all outstanding shares of Alliance Atlantis Communications for approximately $2.3 billion. The acquisition will be carried out by a newly-formed company that is an indirect wholly-owned subsidiary of CanWest. The arrangement requires a vote by Alliance Atlantis shareholders, who are expected to next meet in the spring. According to CanWest, shareholders representing 80% of the company’s voting shares have already agreed to vote in favour of the deal. The agreement is also subject to court and regulatory approvals. If the deal goes through, the operation of Alliance Atlantis' 13 specialty television channels will be combined with CanWest's Canadian television operations by sometime in 2011. Alliance Atlantis Motion Picture Distribution will be controlled by a Canadian partner of Goldman Sachs Capital Partners. Goldman Sachs Capital Partners will own 100% of Alliance Atlantis’ interest in the CSI franchise. “Today's transaction is consistent with CanWest's strategy to enhance its existing television business and expand its presence in the fast growing specialty television sector,” said Leonard Asper, president and CEO of CanWest. “The combined expertise of CanWest and Alliance Atlantis will enable us to produce even better Canadian content, promote it more effectively and provide greater access to more viewers across more platforms.”