Grupo Televisa (TV, Financial) (0.4%) (TV – $14.28 – NYSE) is Mexico’s largest media company with operations in television broadcasting,cable networks, television production, satellite distribution (through its 58.7% ownership of Sky Mexico) and cable distribution. Televisa also has a 36% interest in Univision Communications, the fifth largest overall and most popular Spanish language broadcast network in the U.S. In April 2021, TV announced it would combine its content operations with Univision, in the process increasing its ownership in Univision to 45% and reducing leverage to less than 2x EBITDA. With a dominant position in Spanish language content, new Univision will be poised to launch a streaming service addressing 600 million Spanish speakers around the world. Meanwhile, Televisa is increasing their investment in Mexican broadband where penetration of 60% lags the U.S. We expect the continued recovery in post-COVID Mexican advertising spending as well as growth in pay-television and broadband penetration to benefit Televisa over time.
From Mario Gabelli (Trades, Portfolio)'s Gabelli Asset Fund second-quarter 2021 commentary.
