Premiere Shares Plunge After EBITDA Warning

Premiere relies heavily on Bundesliga TV rights to attract subscribers and is currently waiting for the next rights auction for the domestic competition to kick off. The process has been delayed after the German Football League’s marketing agreement with Sirius collapsed following demands by the country’s cartel office.

”As a result of the EBITDA outlook, Premiere has commenced discussions with its banks regarding a restructuring of debt facilities and is confident to reach an agreement,” read a statement from the company. Premiere’s share price plunged by more than 50% by 10:00 CET to Eur4.32, wiping more than Eur600 million off the company’s market capitalisation. This time last year the company’s share price was around Eur17.00. Mark Williams, who recently replaced Michael Boernicke as Premiere CEO, will look after the company’s finances for the time being after chief financial officer Alexander Teschner resigned on Thursday.