Silverman to Leave Telemundo for Blackstone Group

Henry R. Silverman plans to resign as president and chief executive of Telemundo Group Inc., a Spanish-language television station operator and programmer.

Silverman plans to leave the company Feb. 2 to join the private investment banking firm Blackstone Group as a general partner.

He will be replaced as chief executive at Telemundo by Chairman Saul P. Steinberg. Donald G. Raider will continue to handle day-to-day management of Telemundo as executive vice president and chief operating officer. Silverman will remain on the Telemundo board and advise the company on strategic issues.

Silverman’s expertise has been in mergers and acquisitions, and he has been associated with Steinberg in two major restructurings.

As an officer of Reliance Capital Group, a subsidiary of Steinberg’s Reliance Group Holdings Inc., Silverman negotiated the $600-million acquisition of the Days Inn of America motel chain in 1984. He headed Days Inn until it was sold last year for $765 million.

He also orchestrated the formation of Telemundo as a Spanish-language television power. Telemundo was founded in November, 1985, and bought Channel 52 (KVEA), a Los Angeles television station that was converted into a Spanish-language operation.

In 1986, Telemundo acquired John Blair & Co., a communications concern for $600 million. Telemundo sold all of Blair’s assets except for two Spanish-language TV stations for $500 million and bought additional stations in New York, San Jose and Houston.

Telemundo also acquired a company in Miami that distributed programming via satellite, and it has converted that operation into a Spanish-language TV network through which it supplies programming to 31 affiliate stations that reach 77% of all Hispanic households in the United States.

Silverman said he decided to move on because his skills are in finance and acquisitions and Telemundo “no longer needs my abilities,” while Blackstone Group will put them to work.

He said as a principal at Blackstone Group he will concentrate on managing funds assembled for investment in companies recently bought out that have encountered financial difficulties or need to be restructured.