Mexico. The Televisa Group confirmed that it proceeded legally against Miguel Alemán Magnani and Corporativo Coral S.A. de C.V. (company of the German Family) in relation to certain breaches related to the purchase of 50% of the share capital of Sistema Radiópolis.
According to Televisa the measure is due to what:
a) On July 17, 2019, Corporativo Coral agreed to acquire 50% of the share capital of Radiópolis owned by Televisa for an amount of $1,248 million pesos. The conditions to which the operation was subject (including the authorization of the Federal Institute of Telecommunications) were fully met on August 21, which resulted in the obligation of an initial cash payment of $624 million pesos. That payment was not made, so Corporativo Coral and Mr. Alemán fell into the first default.
b) From that first breach, Corporativo Coral and Miguel Alemán signed a second promissory note ratified before a notary public, before whom they recognized that it is not related to the payment of the operation, and which was offered as a conventional moratorium penalty in case of not making the initial payment agreed on September 20. That date passed without the agreed obligations being fulfilled.
c) Televisa reported in its quarterly report of October 24 of the present, that Corporativo Coral and Miguel Alemán "failed to comply with their obligation to make an initial payment of approximately U.S. $32 million" and that Televisa would initiate the corresponding legal actions if the obligated persisted in arrears. Despite the above, the non-compliance continued.
d) Mr. Alemán and his representatives have stated, both in public and in private, that he has had problems in obtaining financing to make the payment due. The purchase and sale operation was never subject to obtaining financing.
e) By virtue of the repeated breaches and after months of waiting, Televisa proceeded to present the demands that it considered appropriate to obtain judicial compliance with the signed contracts and the payment of the moratorium conventional penalty.
(f) Requesting judicial compliance with the agreements and payment of the conventional moratorium penalty is not a double charge. It is the collection of what was originally agreed, plus the payment for the default in default.
g) We are sad that the German Family is facing problems of debts and even seizures by various authorities. Resorting to litigation was our last option. We could not stop doing it, as Grupo Televisa is a public company listed on the stock markets, with responsibilities for investors from all over the world.
h) We will actively defend the interests of our shareholders through all legal remedies available to us in Mexico and abroad.
