Spanish production company Mediapro is reportedly seeking a bailout from the country’s government to help it deal with the impact of the pandemic.
According to Spanish newspaper, El Confidencial, the company has requested the money to help it pay its creditors, and without the bailout control of Mediapro could pass to its landers by this summer.
Mediapro is unable to meet the payments on a €920 million loan it originally secured in 2018.
The report says the company’s majority shareholder, Chinese fund Orient Hontai Capital, has said it will not offer a bailout after investing extra money last summer.
The company saw its income drop by 38 per cent in 2020, and recorded losses of €215 million.
Last week ratings agency Moody’s warned Mediapro’s “liquidity profile is insufficient to meet their cash requirements.”
- Moody’s downgrades Mediapro’s credit rating