Spanish Broadcasting System has secured a multimillion-dollar settlement with VOZ Media, stemming from VOZ’s failure to finalize its $64 million acquisition of the SBS Mega TV division. SBS initiated legal action against Orlando Salazar and his company in October.
As first reported by Radio Ink‘s sister publication RBR+TVBR, the case, filed in the Miami-Dade County Circuit Court, surrounded SBS’s attempted divestment of its television arm to VOZ and a material breach of the agreement on August 21 due to Voz Media’s failure to complete the transaction promptly.
Subsequently, SBS terminated the agreement on September 20 after Voz Media failed to address the breach.
The lawsuit accused Voz Media and several individuals associated with the company, including Salazar, his wife Janet McClaren Salazar, Pablo Kleinman, and Ryan Morfin, of conspiring to defraud SBS. The complaint detailed allegations of false promises regarding financial backing and attempts to renegotiate the purchase price from $64 million to $38 million using Mega TV’s compromised position as leverage.
The acquisition encompassed SBS’s media assets, including several TV stations and a lease-back arrangement for its Miami media center. However, the deal’s failure has led to significant financial implications for SBS, including an exacerbated net loss in Q2 and Q3 2023.
The specifics of the settlement amount remain undisclosed, supplementing the $3.8 million deposit SBS retained after VOZ Media did not proceed with the TV transaction as planned in 2023.
An SBS spokesperson expressed satisfaction with the resolution, stating the company is pleased with the out-of-court settlement and the outcome of the litigation.
