Provincial cable TV operator Hunan TV & Broadcast Intermediary (000917.SZ) will acquire a 49% stake in Baoding Pascali Broadcasting Cable Television Integrated Information Networking Co., Ltd. for RMB 103 mln. Baoding Pascali is primarily engaged in cable TV operations in Baoding city, Hebei province.
Established in 1999, Baoding Pascali has RMB 100 mln in registered capital and has two shareholders: Hebei Broadcasting and Television Information Network (Group) Co., Ltd., which invested RMB 51 mln and holds a 51% stake, and Broadway Offshore Limited, which invested RMB 49 mln and holds a 49% stake. Hunan TV & Broadcast Intermediary will acquire Broadway Offshore's 49% stake. Baoding has a total population of 11.42 mln, and as of December 31, 2010, Baoding Pascali had 180,794 cable DTV subscribers and 18,133 analog cable TV subscribers.
Baoding Pascali's revenues reached RMB 61.39 mln, RMB 54.06 mln, and RMB 57.76 mln in 2008, 2009, and 2010, respectively. Net profits were RMB 3.56 mln, RMB 796,000, and RMB 670,000 in 2008, 2009, and 2010, respectively. As of December 31, 2010, Baoding Pascali had RMB 188 mln in total assets.