U.K.'s ALL3Media Mulls Possible Sale
LONDON -- ALL3Media has appointed UBS to advise on a possible sale, believing the business to be worth in the region of "£780 million ($1.2 billion) or above," according to a person familiar with the process.
The producer of such shows as Skins, Midsomer Murders and Shameless is majority owned by private equity house Permira, with a stake of just over 40 percent held by management.
UBS will take around three months to conduct the review. ALL3Media believes that when its financial year closes in August, the company will be worth well in excess of $1 billion on the basis of predicted revenues of £450 million ($729 million) and a multiple of 12 times or above its forecast earnings before interest, tax, interest and amortization (EBITDA) of between £62 million ($100 million) and £65 million ($105 million).
Shine International, which Elisabeth Murdoch recently sold to News Corp., was sold on a multiple of 12 times EBITDA, however that valuation is being legally challenged by some shareholders who think it is too high.
When Warner Bros. acquired U.K.-based Shed Media last year it paid eight times EBITDA.