Reading the real estate tea leaves…
Spanish language entertainment behemoth Univision may now be a private company, after a consortium led by Madison Dearborn Partners completed the deal at the end of March. But last week, the company still filed a Q which included some interesting employment contracts for its top executives and some conflicting hints about where the company, whose executive offices had been based in Los Angeles, but have been moved to New York, will eventually wind up.
Take the employment agreement for CFO Andrew Hobson. The executive has been asked to relocate to New York and the company has agreed to spend up to $9.6 million to buy his Los Angeles home. The cost includes “all renovations” made on the house and there’s another clause that requires Univision to move Hobson back to SoCal if things don’t work out.
Then there’s CEO Joe Uva’s agreement. Uva doesn’t get a relocation allowance, since he’s presumably already in the New York metro area. But under the agreement, the company “may shift (but only once) the executive offices to one of the other two metropolitan areas during the first two years of the Initial Term”. The other two cities are Los Angeles and Miami.
Finally, there’s the employment agreement for COO Ray Rodriguez, which defines a “good cause” termination as a relocation to any city “other than the Miami metropolitan area.”
Which city will Univision eventually wind up in? And, perhaps more importantly, will they be public again by the time that they do?