ITALY FRANCE / Mediaset and Fininvest assign Vivendi court

On August 19th Mediaset announced it was taking Vivendi to court in Milan to honour the terms of the contract signed by the two media groups in April.

In a statement, Mediaset said “the summons is not about the serious losses (more than €1.5 billion) which would ensue if the contract were cancelled.” However, the Italian group wants Vivendi to pay €50 million per month as compensation for the delay in executing the contract.

Four days later Fininvest, a holding company owned by the Berlusconi family with a 35% stake in Mediaset, also filed a lawsuit against Vivendi. They are demanding €570 million in compensation.

Tensions have been escalating between Mediaset and Vivendi since the end of July, when the French group reneged on its decision to buy Mediaset Premium, a pay-TV platform. Vivendi is now offering to buy only 20% of Mediaset Premium while as compensation purchasing a 15% stake in Mediaset. The Italian group has rejected the offer.

Sources: L’Expansion, Challenges, Satellifax