TVG has been classified as a discontinued operation by parent company Macrovision Solutions Corp., which says it in the "final phases" of negotiations to sell the horse racing network.
Macrovision, which in May acquired TVG and other assets from Gemstar/TV Guide International in a $2.65 billion deal, said negotiations were ongoing in the sale of the network and the TV Guide Network. Macrovision earlier said it hoped to sell those properties by the end of the year with net proceeds of $350 million.
“We are in discussions, and we have been in discussions,” Fred Amoroso, president and chief executive officer of Macrovision, said during a Nov. 6 conference call discussing third-quarter earnings. “I expect to maintain the position of selling those before the end of the year. Nothing has changed on that. We feel pretty comfortable with that stand, despite the difficult (economic) times.”
TVG and other discontinued entities such as TV Guide magazine and the TV Guide Network combined to produce a $1.12-million loss during the quarter, based on pro-forma accounting Macrovision is using in its reports for comparison purposes. TVG was credited with pro-forma net revenues of $15.6 million in the quarter, and $24.4 million year-to-date, according to a filing with the Securities and Exchange Commission.
Macrovision has said it plans to utilize net proceeds of the sale of TVG and other properties to pay down debt. TV Guide magazine, which is projected by some analysts to lose $20 million this year, was reportedly sold during the quarter for $1 and a $9.5-million loan, with the buyer assuming certain liabilities.
