Univision’s IPO Filing May Mean Big Changes In The Spanish-Speaking Broadcasting Market
Univision, the U.S.’s leading Spanish-language broadcaster, recently took the first step toward an initial public offering (IPO) by filing a registration statement with the Securities and Exchange Commission.
Univision is the most-watched Spanish-language broadcast television network in the country, and is aiming for a stock market value of around $100 million. Though many insiders have predicted it could be much higher.
According to its prospectus, Univision operates the biggest portfolio of Spanish-language media platforms in the U.S. With broadcast and cable networks, 60 local TV stations, radio, digital and mobile properties, it reaches more than 49 million Spanish-speaking media consumers every month.
The company also said it had extended a broadcasting agreement with Grupo Televisa, the world's biggest provider of Spanish-language TV content, until "at least" 2030. Televisa's programming within the United States includes telenovelas, sports, reality series and news. Consequently, Univision has exclusive long-term broadcast and digital rights to all of these.
Univision’s SEC filing stated: “We own the leading and growing portfolio of Spanish-language media platforms in the U.S. across broadcast and cable television, digital and radio, enhancing our value to both our distribution and marketing partners as the gateway to Hispanic America.”
Keeping an Eye on the Hispanic Market
CMI is watching this substantial deal closely because the most significant part of the Univision IPO story is, perhaps, the demographic piece.
As of December 2014, there were 57 million Hispanic people in the U.S., with an even larger growth explosion anticipated in the near future. The nation’s Spanish-speaking community grew 43% from 2000-2010. And by 2050, it’s forecasted to hit more than 100 million, according to the U.S. Census Bureau.
Because of this, marketers are increasingly targeting Hispanic America. Its expanding influence in the economic, cultural and political worlds, have deemed it a highly valuable consumer market. It makes the IPO filing, an exciting story to watch for all involved in Spanish-language broadcasting.
By this token, CMI is poised to serve this exciting market. The demand for Spanish-language entertainment goes beyond the native speaker demographic. Many non-Spanish speakers are equally eager to plug in to Spanish broadcasting, particularly the famous telenovelas (evening soap operas), hundreds of which CMI translates, captions and dubs in for non-Spanish speaking audiences.
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