UMH buys 4 TV channels and a production studio
1 October 2008
United Media Holding (A65 GR: BUY) announced the purchase of a 51% stake in Baluka, the owner of four satellite TV channels in Ukraine, and a TV production studio in Russia. Baluka owns licenses for Menu TV (a cooking channel that has been on the air since June 2007), recently launched Shopping-TV and two other channels expected to be launched next year. UMH said that in 2009 it plans to launch a new TV channel in Russia, with the production studio. Olha Pankiv: UMH is on track to meet its plans declared at placement in May, and its expectations for the year. We confirm our projections of UMH’s revenues from its TV segment at USD 6.5 mln in 2009, equal to 3% of its overall revenues. We reiterate BUY on the stock.
