Media entrepreneur Burgener announces takeover plan for Constantin Medien

The original bone of contention between Burgener and Dieter Hahn, President of Constantin Medien, was the production company Constantin Film. Hahn wanted to sell the film division and concentrate on the more profitable sports rights business (Advertising week reported). Film lover Burgener, formerly CEO of the film studio Constantin Film, wanted to keep it. The ownership of the companies is extremely complex. Burgener owns Highlight Communications in Pratteln BL, which owned the majority of Constantin Film in 2003. Since Munich-based Constantin Medien owns a 60 percent majority in Highlight Communications, it should actually be easy for Hahn to sell the film subsidiary. But Burgener has so far been unable to sell the Block sale - through a group of shareholders who are friends of his. It controlled half of the 60 percent majority after granting Hahn's company a loan and receiving Highlight shares as a guarantee.

Fear of cluster risk

According to the CFO of Highlight Communications, Peter von Büren, Burgener's aim is to ensure that his company Highlight Communications, with sales of 442 million francs, retains two healthy pillars. One is the film division with Constantin Film, which produced the film "Fack Ju Göhte" and was involved in "Sennentuntschi," for example. The other is sports marketing. Highlight Communications. It owns the rights to market the European soccer association Uefa's Champions League until at least 2021. But according to von Büren, this is a cluster risk.

That's why Burgener is trying to expand his control. On Monday, his latest move became known: His company Highlight Event and Entertainment (HLEE), which he controls, is taking a 25 percent stake in Highlight Communications, HLEE announced at its headquarters in Pratteln BL. The price for the share package amounts to 81.9 million euros. The shares had previously been issued by Highlight Communications using authorized capital. After the capital increase, Constantin Medien still holds 45.4 percent of Highlight Communications.

Acquisition as a goal

The transaction is intended to enable Burgener to acquire Constantin Medien. The transaction is also necessary to put an end to the harmful situation for Highlight Event and Entertainment and its shareholders, the communiqué continues. Constantin Medien had, among other things, illegally excluded HLEE's voting rights on several occasions. According to the CFO of Highlight Communications and member of the Board of Directors of HLEE, Dieter Hahn holds 29.3 percent of Constantin Medien's shares. HLEE, for its part, controls 29.7 percent of the shares. Von Büren accuses Hahn of wanting to sell the Constantin Film subsidiary because he wanted capital to acquire marketing rights for the Bundesliga.

Serenity in Munich

Constantin Medien is relaxed about the move, says spokeswoman Sabine Lais when asked. In any case, the Swiss company itself wrote that no takeover offer had yet been made and that proof of financing was also lacking. Even before the announcement of Burgener's takeover plan, one of the numerous lawsuits against Dieter Hahn was brought up again in Germany. According to "BildamSonntag", the Munich public prosecutor's office is investigating Dieter Hahn on suspicion of insider trading. He is accused of having obtained insider knowledge about Highlight Communications' Champions League contract at an early stage in 2015 and using it to acquire shares. According to Hahn spokesman Norbert Essing, the insider trading charge goes back to Burgener and already came to light last year. The rift between the two had occurred at the beginning of 2015. Hahn not only wanted to sell Constantin Film, but also wanted to abolish Highlight Communications, because he found it superfluous. (SDA)