EM.Sport Media down on profit warning

Company to change its name to Constantin Medien

COLOGNE, Germany -- Shares in German rights group EM.Sport Media dipped 2% Wednesday after the company issued a profit warning, saying write downs of up to 135 million euros ($175 million) will push the group into the red for the year.

To recapitalize, EM’s board has approved a capital increase of up to 10% of the group’s total share capital. The new shares are expected to be valued at 2 euros a share, or more than 10% above EM’s current stock price.

EM also announced it would change its name to Constantin Medien, to reflect the closer cooperation between the sports rights company and production/distribution outfit Constantin Film, both of which are controlled by Swiss firm Highlight Communications.