Sale of Zone Vision, Pay TV Operator & Distributor

Zone Vision Client:
Zone Vision Networks Ltd. (Zone Vision), based in London, is a leading international broadcaster and distributor of thematic television channels. Zone Vision has 18 offices and studios throughout Europe, US, Asia and Latin America. Its channel representation business represents over 30 international channels from companies such as Discovery, Viacom, Turner, Hallmark & Eurosport, managing over 60 million subscribers.

chellomedia, a European content subsidiary of UnitedGlobalCom, Inc. (UGC) (Nasdaq: UCOMA), a leading international provider of video, voice and broadband Internet services with operations in 15 countries, including 12 in Europe.


  • UGC acquired an 87.5% interest in Zone Vision from its shareholders, including Advent International Corporation.
  • The transaction amounted to $50 million in cash and $15 million in UGC stock. The stock is subject to a five-year vesting period.
  • As part of the transaction, chellomedia will also contribute the 49% shareholding it already holds in Reality TV Ltd. and chellomedia’s Club channel business.
CEA's Role:
  • Zone Vision was owned by six entrepreneurs and a major European-based private equity firm. The business was extremely specialized. Therefore, there would be a limited number of synergistic strategic buyers. At the insistence of a private equity firm, Zone Vision hired a major international investment banking firm who, after almost a year, had failed to obtain an acceptable bid.
  • CEA was called in by the majority shareholders who structured a transaction with a combination of cash, shares and an earn out. The net result was ultimately a very substantial price to the selling shareholders. CEA also negotiated an early buyout for the private equity firm.

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