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Nordic Capital and Baker Capital to sell C More Group to SBS Broadcasting

Nordic Capital and New York-based private equity firm Baker Capital have signed a definitive agreement to sell their interest in C More Group to European media group SBS Broadcasting for E269.6m. The transaction is subject to competition authority approval and is expected to close in the second quarter of 2005.

C More Group, a premium pay-TV provider, operates the Canal+ channels in the Nordic region. The channels are distributed by satellite, cable, broadband and through the digital terrestrial network. With over 770,000 subscribers the Group had and an annual turnover of €181m in 2004.

SBS will acquire C More through its wholly owned Swedish subsidiary Kanal 5 Holding. Nordic Capital and Baker Capital hold about 50 per cent each of the shares in C More Group, which was formed when the firms acquired Canal+ Television from Vivendi Universal in October 2003.

Anders Hultin, partner at Nordic Capital, said, 'We are very pleased to see that SBS value the transformation that we have achieved. The two companies have a very strong strategic fit where both companies have leading market positions in their respective market segments.'

Rob Manning, partners at Baker Capital, added, 'The Nordic TV landscape is currently being reshaped and this will continue as TV is increasingly digitalised in connection with the roll-out of DTT (Digital Terrestrial Television).'

Nordic Capital focuses on investments in the Nordic middle-market arena. The firm has been especially active in the past quarter. Anders Hultin, partner at Nordic Capital, said that this is mainly due to improved market conditions and coincidence - the firm had worked on several long-term transactions, which happened to complete in the past few months.

Only days ago Nordic Capital made a recommended tender offer to the shareholders of playground equipment supplier Kompan. Since its inception in 1989, Nordic Capital has invested in more than 50 Nordic-based companies operating in a range of segments and sectors.

Baker Capital, founded in 1995, invests in communications-focused companies at all stages of development.

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