Discovery concludes the purchase of Eurosport

The American Discovery acquires 31% of the sports channel from the French TF1, thus increasing its participation to 51%.

The American company Discovery Communications has completed the purchase of 31% of the sports television channel Eurosport from the French company TF1. With this operation, Discovery will control the channel since it previously had 20% of the shares.

The option to increase Discovery's participation in Eurosport to 51% was contemplated in the pact that both companies reached in December 2012, in which the American company took over 20% of the sports channel.

In this deal, Discovery also agreed to acquire 20% of the pay channels TV Breizh, Histoire, Ushuaïa TV and Stylía and established a production alliance with the French group, yet to be developed.

TF1 will maintain the possibility of exercising a sale option for the remaining 49% of Eurosport, which would mean full control by Discovery of the sports channel, which celebrates its 25th anniversary in 2014.

The price of the operation was based on a valuation of the Eurosport group of 1.2 billion dollars (902 million euros), from which the value of Eurosport France was subtracted (115 million dollars, 85 million euros), of which TF1 retains its 80% stake.

TF1 will maintain the possibility of exercising a sale option for the remaining 49% of Eurosport, which would mean full control by Discovery of the sports channel. Coinciding with the 25th anniversary of Eurosport and the new shareholder control of the company, Discovery plans to expand the channel's sports programming as well as other value-added services.