Claxson Steps Up Efforts to Take Company Private

MIAMI/BUENOS AIRES, March
4: In its bid to go private, Claxson has raised the offer to shareholders other
than its majority owners— Cisneros Group, Hicks Muse, Roberto Vivo and
Luis H. Moreno—from $12.35 per share to $13.50 per share.

Claxson began the
privatization process last March. At the time, Roberto Vivo, the chairman and
CEO of Claxson, noted: “In light of the recently announced pay-TV and radio
sale transactions and given that Claxson does not intend to reinvest the
proceeds in new assets, Claxson's operating companies will become significantly
smaller. The increase of public company costs will make it difficult for a
company like Claxson to continue to operate as a reporting company.”

The offer last March was $10.50
for each outstanding share. That was upped to $12.35 per share in November.

—By Mansha Daswani