The Plenary of the Federal Telecommunications Institute (IFT) announced the approval of the sale of the Fox Sports television channel in Mexico to the Lauman Group, chaired by businessman Manuel Arroyo.
“(The IFT) resolved to approve the Fox Sports share purchase agreement in Mexico, in accordance with the provisions of the Resolution issued in March 2019, in which conditions were imposed on the merger between The Walt Disney Company and Twenty-First Century Fox, ”the regulatory body said in a statement.
The approval comes weeks after it was announced that Arroyo, who also owns the newspaper El Financiero , will confirm the acquisition of the sports chain for more than 300 million dollars. And that Mediapro, a Jaime Roures company, declared that it was in contention for the television channel.
The IFT said that the Lauman Group met the eligibility criteria to become the owner of Fox Sports in Mexico, as it is independent from Disney and 21 Century Fox, had no prior business relationship with either company, and is financially capable of acquire the television channel.
In addition, it has the ability and incentives to compete independently in the market, and the purchase does not generate concentration phenomena or economic competition risks.
This transaction comes to an end after several extension periods granted by the IFT, due to the COVID-19 pandemic, to find a buyer for the television channel, a condition imposed to approve the merger between Diseny and 21 Century Fox.
On May 6, the regulated body decided not to renew the grace period, as it assured that market conditions did not prevent the sale of Fox Sports in Mexico from being concluded.
“From the analysis carried out, the Institute considers that the circumstances caused by the COVID-19 pandemic, which at the time affected the disincorporation process, are different today,” the IFT said at the time.
