Broadcaster GTV closes down

Jan 31, 2009

GTV’s board of directors yesterday unanimously resolved to liquidate the company with immediate effect.

By Joseph Opio

GTV’s board of directors yesterday unanimously resolved to liquidate the company with immediate effect.

In perhaps the starkest reminder that the global economic meltdown is no phantom, GTV revealed it had invested $200m (about sh390b) in the business, but blamed “the current financial and global crisis that has caused excessive demands on the business,” for its demise.

“Increased instability in global markets interrupted our ability to secure funding and left us no choice but to cease operations,” said a company spokesman.

“We have tried every possible step but we are all unfortunate victims of the global economic crisis.”

Stunned subscribers received only a short message telling them the channel had gone off the air.
The defunct company supplied programmes to countries from Kenya to Botswana.

Fans who had hitherto watched the English Premier League on the station will have to find another source of information this weekend, and in the future.

But it won’t be only the subscribers counting the cost.
Several African football federations and leagues will suffer the domino effect.

GTV backed several domestic leagues, including Uganda, Ghana and Tanzania. The pay TV had undertaken to back the local Ugandan league to the tune of $500,000 (about 985m) a year for the coming five years.

GTV had also just recently penned a $4m four-year sponsorship deal for the regional CECAFA Cup.

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