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Technology Stocks : UVN - Spanish TV - the next wave?

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To: MeDroogies who wrote ()3/13/2006 5:11:59 AM
From: Allegoria  Read Replies (1) of 13
 
Univision Communications (UVN) : Ups to 4 STARS (buy) from 3 STARS (hold)
Analyst: Tuna Amobi, CPA and CFA

The Spanish language broadcaster's share prices are up Friday on an unconfirmed Marketwatch.com report of an imminent buyout bid, by a group including the key partners Mexico's Grupo Televisa (TV) and Venezuela's Venevision, plus private parties. We view the news as possible after last month's 8-K from Univision alluded to an auction. Televisa's participation could remove a major hurdle to the sale, with Univision Communications in a brewing legal tussle with the key program supplier. Also, private equity involvement could address the hurdle on a 25% foreign ownership limit. We now see a deal as more likely, and our 12-month target price rises $2 to $40.
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