M&A · Tech · Cable & Other Pay Television Services
Gato Investments LP to acquire Hemisphere Media Group, Inc.
Announced May 10, 2022 · Closed Sep 13, 2022
Deal value—
Premium86.0%To unaffected price
EV / Adj. EBITDA—
ConsiderationAll cash$7.00 per share
Transaction
- Acquirer
- Gato Investments LP
- Target
- Hemisphere Media Group, Inc.
- Buyer type
- Strategic
- Offer price per share
- $7.00
- Enterprise value
- —
- Status
- Closed Sep 13, 2022
Deal protections
- Break fee (target pays)
- $10.6M
- Reverse fee (buyer pays)
- $15.6M
- Go-shop
- Go-shop
- Financing
- No financing condition
Advisors
- To the acquirer
- Not disclosed
- To the target
- Moelis, PJT Partners
- Moelis fee
- $8.4M
Sector context · Tech
- Comparable deals
- 68 in the prior 24 months
- Premium
- 86.0% vs. 32.0% sector median
- EV / Adj. EBITDA
- Sector median 17.8x
- Break fee
- Sector median 3.0%
Timeline
- AnnouncedMay 10, 2022
- Proxy filedJun 27, 2022
- Definitive proxyAug 10, 2022
- Shareholder voteSep 8, 2022
- ClosedSep 13, 2022
Valuation · fairness opinions
Trading comparablesPJT Partners$5.34$9.76
Precedent transactionsPJT Partners$6.48$12.71
Discounted cash flowPJT Partners$5.49$11.25
52-week trading rangePJT Partners$3.77$13.28
Analyst price targetsPJT Partners$10.79$11.69
Trading comparablesMoelis$5.44$8.90
Trading comparablesMoelis$5.25$10.17
Precedent transactionsMoelis$8.31$12.55
Discounted cash flowMoelis$4.82$11.28
Discounted cash flowMoelis$5.28$13.25
Offer $7.00
Implied value per Hemisphere Media Group, Inc. share by analysis, from PJT Partners and Moelis · DCF discount rate 8.5%–10.5%.