Spanish broadcasters Telecinco and Cuatro will take between 44% and 50% of the entire Spanish TV ad market by 2012, according to analysts.
In the wake of Mediaset-backed Telecinco buying Cuatro, investment bank Morgan Stanley noted that the best case scenario for the group is it taking a 50% market share and delivering a 40% profit margin. The worst case scenario is a 44% market share and 18% profit margin, the bank added. The deal for Cuatro unlocks value in both broadcasters, according to Morgan Stanley, which added the combined group should be able to shave 50 million of costs from 2011.
