The FCC has approved the 2021 request of Spanish Broadcasting System to increase its foreign ownership limits beyond the 25% threshold.
SBS filed the petition in March 2021 following a legal settlement with a group of preferred shareholders to allow them to convert their stock into publicly traded common shares. As some of the shareholders in the settlement were non-US based investment funds or citizens, the share issuance would move the company’s foreign-held stake above the 25% limit, with SBS seeking approval to allow up to 49.99% of its equity to be held by international investors.
Following the completion of the transactions, SBS will have three classes of outstanding common stock. Raúl Alarcón will continue to hold an attributable interest in SBS with 80% of the voting interest and a 34% equity interest in the company. The remainder of the company would be held by various domestic and foreign investors with no foreign individual or entity holding more than a 5% stake in the company.
This story first appeared on radioinsight.com