Modern Times Group (MTG) has exited the Nigerian market after the sale of its free-TV broadcasting and production businesses in Nigeria to Econet Media Group for an undisclosed fee. With the move, the company has finaaly left the African market with similar sales taking place in Tanzania and Ghana.
Stating its reason for the decision to exit the market, MTG cited its transformation from a traditional broadcaster into a digital video entertainment company as responsible.
The African free-TV and production businesses generated sales of €2.15 million for the first 11 months of 2016, of which Ghana and Nigeria contributed the substantial portion.
The sale of MTG’s businesses in Ghana and Nigeria will result in a preliminary net capital loss, which will be reported within items affecting comparability (IAC) in MTG’s Q4 2016 financial results while the sale of the Tanzanian outfit will result in marginal net capital effect.
