CanWest And Powerful Allies On Feeding Frenzy

CanWest's push has the full support of Goldman Sachs Group Inc., the New York-based dealer that is financing the Alliance purchase. One source close to the dealer said: “This is not a typical private equity deal. Goldman is backing a client with its capital, and can be counted on to continue backing CanWest.” CanWest executives were out selling the Alliance takeover to institutional investors yesterday in Toronto, and plan a similar road show tomorrow in New York. The potential for expansion Down Under is an element of the presentation. CanWest is now expected to avoid selling its Network 10 holding in Australia, which analysts previously forecast would be auctioned off for $1.5-billion. “With the Alliance Atlantis deal not necessitating a sale of the South Pacific assets, we believe that CanWest will opt for a merger into a larger media company,” said a report yesterday by analyst Ben Mogil at Westwind Partners. He predicted Goldman may step forward as CanWest's partner in Australia. www.theglobeandmail.com/servlet/story/RTGAM.20070117.wrcanwest17/BNStory/Business

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