Carlyle looking to sell Taiwanese Eastern Broadcasting for USD700 million

By VCPOST Staff Reporter

Nov 24, 2013 10:57 PM EST

The Carlyle Group LP is reportedly looking to sell its controlling stake in Eastern Broadcasting Co. for as much as USD700 million. Eastern Broadcasting is the largest broadcasting company in Taiwan.

Sources told Bloomberg that the American private equity firm has already contacted investment banks to advice it on the sale. Carlyle will be putting up for sale its 67% stake in the cable TV company.

Bloomberg, citing statements made by the sources, said that the sale may draw interest from local Taiwanese media groups. One source said that Eastern Media International Corp. is eyeing Carlyle's holding.

Eastern Media owns 21% of Eastern Broadcasting. It has a standing agreement with Carlyle giving it the right to make the first offer, the report said.    

Eastern  Broadcasting currently owns eight domestic channels in Taiwan, including two news channels. According to Bloomberg sources, Carlyle may seek a valuation of 15 to 20 times the company's earnings before interest, taxes, depreciation and amortization.

Carlyle built a majority holding in Eastern Broadcasting after acquiring parent company Eastern Multimedia Co. in a USD1.5 billion deal in 2006. The Eastern Media takeover was the largest-ever buyout deal in Asia excluding Japan at the time, Bloomberg said.   

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