Prisa to maintain dividends after Liberty deal
* No more asset sales planned for time being
* Shares close down 13.6 percent on dilution concerns
(Adds background on dividend)
MADRID, Aug 5 (Reuters) - Spanish media group Prisa will be able to continue making dividend payments after an imminent deal with U.S. fund Liberty Acquisition Group, managers of both companies said on Thursday.
Debt-laden Prisa (PRS.MC), which posted a first-half net profit of 60.9 million euros ($79.92 million), announced revised terms of a capital increase backed by Liberty on Wednesday. [ID:nLDE6731V0]
"We believe there's ample room between the company's profits and reserves to ensure dividend payments on an annual basis," Prisa's chief executive, Juan Luis Cebrian, said on a joint conference call with managers of Liberty.
In March Cebrian told Reuters in an interview that the company would soon be able to resume dividend payments, which it cut in 2008. [ID:nLDE6281V0]
The company does not plan any more asset sales and has no immediate plans to spin off its operations in Brazil.
"Asset disposals should come off the table, at least for the time being. The idea is to build value in the assets and continue to deleverage, so as not sell from a position of weakness," one of the Liberty executives said.
Prisa's shares closed down 13.6 percent at 2.1 euros on Thursday, since the complex deal to inject capital will be more dilutive for current shareholders than previously announced.
Liberty expects the deal, under which its stakeholders and partners will receive shares in a recapitalised Prisa, to be completed by October after shareholder and regulatory approval in Spain and the United States.
Prisa's core shareholders, the Polanco family, will retain a minimum 30 percent of the company following the deal. ($1=.7620 euros) (Reporting by Tracy Rucinski; Editing by Greg Mahlich)