Some Fuse staffers began getting pink slips today as the operation readies to merge with NuvoTV. Meetings with various categories of employees were held throughout the morning, according to a source with knowledge of the situation, who described a waiting-for-the-tumbrel scene filled with confusion and consternation at Fuse’s corner of parent MSG‘s 11 Penn Plaza HQ. “We announced in early April that we reached an agreement to sell Fuse to SiTV Media and these changes are part of that transition,” an MSG rep told Deadline, declining to elaborate. According to one insider, it’s that age-old “taking a look at what we need going forward” post-merger story.
Early last month, the parent company of Jennifer Lopez’s NuvoTV agreed to buy Fuse from MSG. SiTV Media agreed to pay $226M — and give MSG a 15% stake, the entities disclosed. The total value of the cash plus equity comes to about $275M, Stifel analyst Benjamin Mogil estimated at the time. The company, where Lopez is a shareholder and Chief Creative Officer, outbid an offer from Sean Combs said to be around $200M. Fuse reaches 73M pay TV subscribers, and should boost SiTV and NuvoTV — a Latin American entertainment network that reaches about 34M homes. (more…)