MFE Scoops 32.9% in Impresa for €17.3M, Bets on Free-to-Air TV Revival

MFE-MediaForEurope NV, the media company controlled by the Berlusconi family, announced on Wednesday its acquisition of a 32.9% stake in Impresa SGPS SA, Portugal's largest media firm. The purchase involves 82.5 million newly issued shares at €0.21 each, totaling €17.3 million. The deal represents a 19% discount to Wednesday's closing price.

This transaction marks MFE's latest move to expand its pan-European media presence, aiming to build a free-to-air TV network amid growing competition from streaming services. The company emphasized it will fund the acquisition through its existing financial resources without affecting its 2025 forecasts.

Impresa, which owns television station SIC and the weekly newspaper Expresso, has faced significant financial challenges in recent years. For the first half of 2025, it reported a net loss of €5.1 million, with rising debt and restructuring costs weighing on performance. The company's market value has fallen sharply from €900 million in 2000 to just €38 million today.

A Strategic Move in a Challenging Industry

MFE's investment in Impresa aligns with broader efforts to compete with streaming platforms like Netflix and Amazon. The company already operates in Italy, Spain, and Germany, where it recently gained control of ProSiebenSat.1 Media SE. This acquisition gives MFE a foothold in Portugal's struggling but strategically important media market.

The Balsemão family, led by Francisco Pinto Balsemão, will remain the largest shareholder in Impresa with a 33.7% stake. The family's Impreger holding company controls just over 50% of the firm. MFE's stake positions it as a second-largest shareholder, giving it influence without requiring a controlling interest.

Impresa's financial struggles reflect broader challenges facing legacy media companies across Europe. The firm's net debt has risen to €148 million, and its leverage ratio stands at about 175%. Like many of its peers, it has been hit by the migration of audiences and advertisers to digital platforms.

What This Means for Investors

MFE's decision to invest in Impresa signals confidence in the potential for European free-to-air television in the digital age. The company has not indicated any immediate changes to its 2025 financial forecasts, suggesting it views the transaction as a long-term strategic play.

For Impresa, the deal could provide much-needed capital to support digital transformation and reduce debt. However, the company will need to navigate a difficult market environment. Competitors like streaming services and digital platforms continue to draw viewers and advertisers away from traditional media models.

Analysts will be watching closely whether MFE's investment leads to a turnaround in Impresa's performance. The company's ability to innovate and adapt to digital trends will determine the success of this partnership. For now, the acquisition highlights the ongoing efforts of traditional media firms to remain relevant in a rapidly evolving industry.