Richard Desmond buys Five for £103.5m

Five: RTL jumped at 'window of opportunity' to sell
Five: RTL jumped at 'window of opportunity' to sell

Richard Desmond is now a player in the UK commercial television industry after signing a £103.5m deal to buy Five from European broadcaster RTL.

After a period of intense speculation, the deal was signed in the last hour and Desmond's Northern & Shell company is now the sole owner of Five.

The cash payment values Five at a twentieth of the current £2.1bn market capitalisation of ITV, which generated £1.9bn annual revenues last year - around seven times greater than Five's.

Gerhard Zeiler, chief executive of RTL Group, said: "With a significant recovery of the UK TV advertising market and Five performing well in the first half of 2010, we saw a window of opportunity to realise a transaction based on a fair evaluation of Five.

"The disposal is in line with RTL Group’s strategy of being number one or two in each of our markets. I would like to thank the whole team at Five and CEO & Chair Dawn Airey for their passion and professionalism, especially in the difficult past 20 months which saw a comprehensive restructuring of the company."

A spokesman for RTL said all members of Five’s staff, including chief executive Dawn Airey, are now employees of Desmond and Airey is not going to move to another role within RTL.

RTL’s bank JP Morgan has acted as exclusive financial adviser to the transaction.

0
SHARES
Comment

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Brand Republic Jobs
Thousands of jobs across advertising, creative, marketing and media

Just published

Feel you're missing out?

GET THE
BRANDREPUBLIC
BULLETINS
Sign up

The Wall Blog

From our partners

3 great ads I had nothing to do with: Brian Cooper

3 great ads I had nothing to do with: Catherine Kehoe

A day in the life of Jozef Wallis

A day in the life of Jozef Wallis

A day in the life of Arthur Kay

A day in the life of Arthur Kay

A day in the life of Daniel Kaplansky

A day in the life of Daniel Kaplansky

Have an exciting Christmas in EC1

Have an exciting Christmas in EC1