November 20, 1998
Grupo Medcom S.A., a privately held Mexican media company, has closed a transaction with CBS Broadcasting, Inc. in which Medcom purchased 70 percent of CBS' Spanish-Portuguese-language television news and information network, CBS TeleNoticias. Under the agreement, Grupo Medcom acquired a majority ownership in a programming network that serves more than 20 Latin American countries and the United States.
"This agreement with CBS will allow Grupo Medcom to distribute the highest quality news programming to Latin Americans, under a highly respected name with world-wide recognition," stated George Damoose, a partner of Procopio, Cory, Hargreaves & Savitch LLP, and attorney for Grupo Medcom. "Ultimately, the deal will bring higher quality news programming to Spanish-speaking populations in Latin America and cities throughout the U.S., including San Diego, and eventually to Spanish and Portuguese-speaking populations throughout the world."
The stations will continue to operate under the CBS call letters, but Grupo Medcom becomes the managing partner of the joint venture.
Damoose, the leader of Procopio's tax team, worked with Manual Abud, chief financial officer, Grupo Medcom, to negotiate the terms of the agreement with CBS Corp. A graduate of Harvard Law School, Damoose has extensive experience advising on business acquisitions, dispositions, and with structuring business relationships and transactions.
"In this case, we represented the purchaser in acquiring 70 percent of CBS TeleNoticias from CBS Corp.," Damoose said. "This included negotiating the business terms and preparing documents and setting up the joint venture with CBS."
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