Cisneros Organization

The Organización Cisneros S.A., currently called Cisneros, is a conglomerate of mass media, entertainment, digital media, real estate investments, tourism developments, and consumer products which reaches 550 million Spanish and Portuguese-speaking consumers in America and Europe, in addition to bringing media content to more than 90 countries. It is headquartered in Caracas, Venezuela and Miami, United States. Its president is the renowned businessman Gustavo Cisneros and its vice president is Adriana Cisneros.

History

Early years (1929-1960)

Diego Cisneros, founder of the Cisneros Organization

The Diego Cisneros Organization (ODC) was founded in 1929 in Venezuela by Diego Cisneros, as a small material transport business. The company grew rapidly and was expanded with the concession for the manufacture and sale of Pepsi Cola soft drinks in Caracas.

In 1939 the company "D. Cisneros & Co." obtains the franchise for the Norge and Hamilton and Reo trucks brands. In the same year, Pepsi Cola International granted an exclusive sales and marketing license to D. Cisneros & Cia. to handle its products in Venezuela. This operation becomes the largest independent bottling network of Pepsi Cola International.

In 1952 Helados Club Ice Cream Company, later known as "Helados Tío Rico, SA", is established. The following year, the first corporate strategic plan is developed to integrate the commercial and industrial activities of the company into the Cisneros Group.

Diego diversified his business in 1961 when he acquired the television channel Televisa, which would become Venevisión. Gustavo Cisneros, his son, began his career in the media and entertainment operations of the television company.

In 1968, Gustavo Cisneros assumed the position of President and General Director of the Cisneros Organization (Bachelet, 2004). The Diego Cisneros Foundation was also born, created to support democratic values, stimulate the growth of private initiative and promote free market values.

1970s

In 1970 Ricardo Cisneros assumed the position of director of operations of the Cisneros Organization. This same year Gaveplast was established in the city of Valencia to supply the local market with bags, cases, and other plastic products.

In 1971 construction began on its facilities in Medley, Florida. In 1972 Cisneros acquired the rights to start producing and broadcasting the Miss Venezuela beauty pageant, an event that is still in his hands today.

In 1973 it acquired Yukery Venezolana de Alimentos, involved in the beverage industry. Products included locally adapted flavors and products such as Toddy, Yukery, Pampero, Gerber, and Minalba, which are acquired by 1986. All products were number one brands at the time, until it was sold (along with Pepsi-Cola Venezuela) in 1996 to Empresas Polar. The Gerber brand was sold that same year to the transnational Nestlé.

In 1974 the Cisneros Group of Companies acquired a series of radio stations in Venezuela and integrated them into "Circuito Radiovisión" the first national network in the country. The Distribuidora O'Caña, a distribution company for imported liquors, also began operations.

In 1975, it acquired a majority stake in CADA Automercado, the first supermarket chain in Venezuela. 93 supermarkets were established throughout the country. The chain was sold in 1997 and disappeared in 2010.

In 1976, the Cisneros Group of Companies acquired Pharsana de Venezuela, founded to market and distribute Chicco baby care products. It also acquires both Laboratorios Fisa and Distribuidora Kapina SA.

1980s

In 1980, the Rodven Group of Companies was formed to manufacture records, audio and video cassettes. Burger King Corporation also authorizes an exclusive franchise to the Cisneros Organization to operate the Burger King chain in Venezuela.

In 1982 Proyectos Pet, C.A. became the main supplier of bottles for beverages, although over the years it would cause problems with Pepsi Cola. In addition, Latina Televisión begins the distribution of Venevisión productions in the US Hispanic market. Cisneros obtains the license for the French's and Cherry Blossom brands (brands owned by Reckitt & Colman whose subsidiary was Atlantis Venezolana; which ceased operations in the country in 1994) and also obtains the rights of the Miss Venezuela Organization.

In 1983, Pizza Hut was acquired as the exclusive franchise in Venezuela from Pepsico Internacional (who owned the franchise worldwide until 1997). The following year they buy exclusive rights from Apple Computer to represent their products in Venezuela.

In 1986, the Cisneros Group presented a project to bring ATMs to Venezuela through NCR Summa Sistemas Company. It also obtained Yukery Venezolana de Alimentos, producer and distributor of fruit juices, together with the mineral water brands Minalba and San Bernardo become part of the portfolio.

In 1988 the Cisneros Group purchases approximately four acres of land in London's Paternoster Square and begins a large-scale office, retail complex development managed in association with Park Tower Realty, Greycoat and Mitsubishi Estates. Rodven Video and Rodven Colombia are also established together with Videomovil Color, CA, an audiovisual production company that is acquired by the Group.

In 1989, one of its fixed companies, Venevisión International, was created to distribute productions of the channel and third parties in the Hispanic market in the United States and Latin America.

1990s

Beginning in the 1990s, the group would be renamed the Cisneros Organization. Pepsi Cola and Hit de Venezuela open Embotelladora Los Llanos, CA in Calabozo, Guárico State, Venezuela, their twenty-first bottling plant in the country. In addition, the company Sistemas Teracom CA, providing exclusive representation of Stratus Computer and Fujitsu Ltd., is founded as part of the Information Systems and Telecommunications Division of the Cisneros Organization.

In 1992 Venevisión acquired a stake in Univision (a company also belonging to Emilio Azcárraga Milmo's Televisa), the best-known Spanish-language television network in the United States, Chilevisión was also acquired, a national television network in Chile. Finally, it acquired Cervecería Regional, a distributor and producer of beer in Venezuela. Also in that same year, this organization acquired part of the shares of the television station Televen, with whom they broke relations in 2001.

In 1993, Pueblo Xtra Internacional, a 52-store supermarket chain with stores in Puerto Rico, the US Virgin Islands and South Florida, was acquired. The transaction also includes 23 Blockbuster Video franchises. Likewise, Americatel was born, a digital trunk communication service in Venezuela.

In 1994 some companies of the consortium were sold due to the consequences of the banking crisis of that year.

In 1995, Galaxy Latin America was founded through a joint venture with Hughes Electronics Corporation and the Cisneros Organization, to broadcast a network of 144 direct-to-home satellite channels with DirecTV, that reached 27 countries in Latin America.

In 1996, the Cisneros Television Group was formed, a company aimed at creating pay television channels for international distribution, exclusive for a period of time for the DirecTV platform. Likewise, Embotelladoras Hit de Venezuela enters into a strategic alliance with The Coca-Cola Company, thus carrying Coca-Cola FEMSA Venezuela and Hit de Venezuela. The new Coca-Cola company gave a dominant position in the Venezuelan market share, going from 16% to 85% of the soft drink market in Venezuela, this was partly caused by the period in which Pepsi was discontinued. sell while looking for new owners, which would be Empresas Polar.

In 1998, Cisneros capitalized on the Ibero-American market with AOL Latin America, the most important online service in the world for Ibero-American consumers. It is a joint venture with America Online, Inc., a wholly-owned subsidiary of the then-known AOL Time Warner Inc.

An alliance established between the Cisneros Group and Hicks, Must, Tate and Furst, Inc. led to the creation of Ibero America Media Partners, a $500 million investment fund that invests, develops and acquires media properties in Latin America, Spain and Portugal, of which Chilevisión became a part in 1999. Subsequently, Ibero American Radio Chile is formed, to acquire, operate and consolidate the main radio stations in Chile.

In 1999, through the Cisneros Foundation, it supported the relaunch of the Clase channel, the first pan-regional educational television channel, which was launched in 1996 by Galaxy Latin America, in a joint effort with the Cisneros Television Group, the channel's new owner. Cisneros and AEI Music Network Inc. launch the first multi-channel audio-only music service created for the Latin American market; called AEI Music Latin America. Finalizing the launch in the month of November America Online Brasil.

2000s

Venevisión would launch its first international signal on August 28, 2000, under the name of Venevisión Continental, for 8 years it remained a successful Latin entertainment channel. Ibero-American Media Partners invests in El Sitio, Inc. and continues to expand AOL-LA in Mexico and Argentina.

In 2001 the Leones del Caracas, one of the most successful baseball teams in Venezuela, became part of the group. With the union of Cisneros Television Group, Ibero-American Media Partners and El Sitio, Claxson Interactive Group is formed, a company that provides multimedia entertainment content for the Spanish and Portuguese-speaking public, which would be in charge of the Cisneros Television Group portfolio and Ibero American Radio Chile.

In 2002, Cisneros acquired a 20% stake in Backus y Johnston, the largest brewery in Peru.

In 2003, it bought Claxson Interactive Group's channel Claxe. Venevisión International would launch the same year VeneMusic, an international music label created to promote popular Latin music genres. The following year, Venevisión Studios was founded in Miami, with a size of 115,000 feet, in these studios television content is produced for the United States and Latin America.

In 2006, Venevisión International launched VeneMovies, a Spanish-language movie channel in the United States with broadcasts 24 hours a day and without commercial breaks. In addition, Siente Music is created, a joint venture between Venevisión International and Universal Music Latino, the Latin music division of Universal Music Group.

In 2007 Cisneros and his partners, Jerry Perenchio and Emilio Azcárraga Jean (owners of other percentages of the channel), sold the Spanish-language television network Univisión for $13.7 billion dollars. Venevisión Plus subscription.

In 2008, Grupo Cisneros, through VeneMusic, announced the signing of a contract with Marcos Witt to market the Christian singer's records in the secular market, while CanZion would continue with the rights to the recordings and releases in the Christian environment.

In July 2008, it was decided to relaunch Venevisión Continental with another name specialized in the current Latin genre, with the name Novelisima, keeping its old programming but eliminating concepts of opinion, sports, and politics, only keeping the entertainment programs, soap operas and comedy. Novelisima was available in Latin America and Europe except Venezuela, the Dominican Republic and Colombia, since they had their local feed which are Venevisión Plus, Venevisión Plus Dominicana (launched in 2010) and VmasTV (launched in 2012) respectively.

In 2009 Venevisión International launches the entertainment portal Novulu, and announces the creation of Tropicalia, a tourism development with low environmental and socially responsible impact, located in the Dominican Republic. It also obtains an achievement from its subsidiaries, Stefanía Fernández (Miss Venezuela 2008) wins the Miss Universe pageant, being crowned by Dayana Mendoza (Miss Venezuela 2007), making Venezuela the first country to win this contest twice in a row.

2010s

In 2010 Venevisión Plus Dominicana was launched. The following year, in 2011, the lifestyle channel, LifeStyle TV, was shut down; Cisneros Interactive is formed, with the objective of supervising all the digital companies of the Organization; and Venevisión celebrates its 50th anniversary.

In 2012, Cl@ closed silently and unexpectedly. In July of the same year, the signals of Novelísima and Venevisión Plus Dominicana merged into a new channel called Ve Plus TV for all of Latin America and Spain, together with Venevisión+ Plus in Venezuela and together with the also created in that year VmasTV in Colombia.

On October 28, 2013, the Cisneros Organization relaunched the Venevisión International brand under the name Cisneros Media Distribution together with two business units: Cisneros Interactive and Cisneros Real Estate. Although this was properly announced through its pre-sale, in 2014.

In 2014 Cisneros Media renewed its production facilities in Miami, which were under the name Venevisión Studios, and relaunched them under the name Cisneros Studios.

On May 1, 2016, the company decided to unify VmasTV (Colombia) with Ve Plus TV, first calling it Ve Plus TV Colombia, but on July 29, 2016, the channel's broadcasts, two months after its popularity, ceased its transmissions to only broadcast the international signal.

News

Currently Cisneros Media Distribution (formerly Venevisión International), is in charge of the distribution, marketing and production of entertainment content, significantly advancing the global reach of the group's operations, in addition, it is one of the main programming providers for Univision Communications, the leading Spanish-language conglomerate in the United States.

In parallel to the company's business, Gustavo Cisneros and Patricia Phelps de Cisneros created Fundación Cisneros, a private non-profit institution focused on improving education in Latin America, which promotes various educational initiatives aimed at promote freedom of expression, encourage economic development, and foster multicultural understanding.

In August 2013, Gustavo Cisneros appointed his daughter, Adriana Cisneros de Griffin, as the new CEO (Chief Executive Officer) of the Cisneros Organization, who in the last seven years served as Vice Chairman and Director of Strategy of the Organization, concentrating mainly on the development of the Organization in the digital world and electronic commerce.

In 2016 the organization was participating in the purchase of the Argentine private channel Telefe, along with this the companies Turner Broadcasting System Latin America and Viacom Media Networks would also compete for the acquisition, the latter being the one that would obtain the channel television for an amount of $400 million dollars, although previously Turner was the one with the greatest possibility. Cisneros would not have come very close to the figure of the economic proposal.

In 2017, Cox Communications, the third largest operator in the United States, and Cisneros Media Distribution, announced the launch of Venevisión USA as part of COX's Hispanic community offering in its 'Latino Pak,' which which represents a step in the expansion of Venevisión in the United States. The channel debuted on February 8.

Companies

The Cisneros Organization companies include majority and minority interests in various businesses that are managed directly or indirectly through partnerships, joint ventures or alliances; and are grouped into the following corporate divisions:

Cisneros Media

Business unit of the Cisneros Organization that includes its television broadcasting, production, content distribution, music, and beauty pageant businesses:

Open signal TV channels

• Venevision: is the main and largest television network in Venezuela. It has an open signal frequency throughout the country.

Pay TV channels

• Venevisión USA: is a subsidiary cable television channel of the Venezuelan Venevisión chain, operated by Cisneros Media belonging to the Cisneros Organization. He began his transmissions on February 8, 2017 and his signal is only transmitted in that United States.
• Ve Plus: (formerly Novelísimo): Channel of novels and entertainment, with different programming that combines talk shows, variety programs and humor.
• Seeing Movies: Film channel in several Latin American countries

Channels offered

• Class: Latin American subscription education channel, offered in schools with support from the Cisneros Foundation.
• VmasTV: Canal por suscription dedicated to the Colombian public, with different genres and formats including dramatics, reality shows, humor programs, contests.
• Venevisión+Plus: Subscription channel that offers 250 hours per month of Spanish programming in which the talent and charism of internationally recognized artists are combined. Currently, Venevisión Plus, in its different feeds, is present in several Latin American countries.

Content and distribution

• Cisneros Media Distribution (formerly Venevisión International): Entertainment company with more than 30 years of experience in the distribution of Spanish content produced by the Cisneros Organization and other companies.
• Venevisión International Productions: It is the largest Hispanic television and film production company in the United States and Latin America, whose programming is distributed globally in more than 90 countries around the world.
• Cisneros Studios: Installation for the production of television programming, with facilities that include three studies, covering more than 26 000 square meters, with digital cameras, digital AES and the ability to produce high-definition TV programs.

Entertainment and music

• Organization Miss Venezuela: is the organization responsible for directing and producing beauty contests Miss Venezuela, Miss Venezuela Mundo and Mister Venezuela. It is catalogued in the 1990s as the most successful local company in the international arena, this Organization is dedicated to exalting the beauty of Venezuelan women and has turned Miss Venezuela into one of the contests with more international titles. Today Miss Venezuela's contest is a multimedia event.
• VeneMusic: Venevisión International music company that produces, promotes and distributes Latin music from different genres, including television productions from the Cisneros Organization.
• Siente Music: Joint venture between VeneMusic and Universal Music Latino, the winning division of recognitions of Universal Music Group.

Cisneros Interactive

Corporate division of the Cisneros Organization that deals with developing digital businesses for Hispanic audiences in the United States and Latin America. Its business strategy is focused on two main areas; digital advertising, both online and mobile, and e-commerce. Its main companies are:

• Claxson Interactive Group: media company that produces and distributes contents in several languages.
• RedMas: It is a Hispanic mobile advertising network and mobile study. This company focuses on offering its current and potential customers, the design and development of mobile strategies that includes the creation of HTML5 portals and applications for different operating systems such as Android, iOS, Windows, Symbian and tablets.
• Adsmovil: mobile advertising network for the US Hispanic community. UU. and Latin American markets in Spanish and Portuguese.
• Cuponity: is an e-commerce site with daily offers in Peru and Venezuela. In 2015 the Colombian division declared bankrupt.
• Venemobile: telecommunications system of the organization.

Cisneros Real Estate

Division of the Cisneros Real Estate Organization in charge of the development and positioning of the company's real estate investments, made up of commercial, industrial and residential properties in different countries.

• Tropicalia: Tourism real estate development of the Cisneros Organization, socially responsible and low environmental impact, located in the province of El Seibo, Dominican Republic. Tropicalia is a long-term sustainable project that aspires to become one of the most luxurious destinations across the Caribbean.

Consumer Products and Services

• Regional brewery: Recognized beer and malt companies in Venezuela.
• Travel and Tourism (breakable link available on the Internet Archive; see history, first version and last).: Corporate travel agency in Venezuela, where it offers services such as ticket delivery and travel assistance in 125 countries, access to the Sabre booking system on the Internet and service of the telephone service center in the United States, Europe and Latin America.
• Fisa (breakable link available on the Internet Archive; see history, first version and last).: It has as its main activity, the manufacture and distribution of personal beauty products in Venezuela. Its manufacturing lines cover products for hair care, soaps and deodorants, skin care products and fragrances for men and women.
• Americatel: It offers corporate clients an interconnection service for digital communication in Venezuela, using technology developed by Motorola, Inc., which allows users to share a relatively small number of communication routes Currently, this service is offered in Caracas, La Guaira, Maracay, Valencia, Puerto Ordaz and Maturín.

Sports

• Leones del Caracas: recognized professional baseball team in Venezuela belonging to the Venezuelan Professional Baseball League

Social Responsibility

Cisneros Foundation

The Cisneros Foundation is an organization in charge of corporate social responsibility. It has developed various educational and cultural initiatives, such as:

• The educational program ACUDE, which allowed the literacy of 1 million people in Venezuela from 1984 to 1991.
• The Mozarteum Center; aimed at young people from all social strata with the mission to enrich the musical development of Venezuela through the study and estimation of music.
• The AME Programme (Updating Teachers in Education), an international virtual network of ICT-based teaching/learning to promote the training of basic education teachers in Latin America.
• Think of art/Think Art, an educational platform based on visual arts, and designed under the premise that the inherent dialogue between an art work and the viewer provides a model for interactive learning and the development of critical thinking.
• Collection Patricia Phelps de Cisneros, currently made up of cores of: Contemporary Art, Modern Art, Colonial Art, Traveller Artists to Latin America and “Orinoco Collection”. Through this initiative, activities such as exhibitions, publications, conferences and scholarships are carried out for research and artistic production.

In addition to the Fundación Cisneros programs, each company in the organization has programs in the regions where it operates:

• We are what we want, a Venevisión campaign aimed at enhancing Venezuelan attitudes and values, and promoting citizen coexistence. This program was recognized in 2013 as one of the best initiatives of RSE by the Spanish Corresponsible Foundation.
• Women Entrepreneurs, initiative created in 2010 in conjunction with the Institute of Higher Studies of Administration (IESA), for the development of business skills in women.
• Grandparents aboard, program of the travel agency Saeca Carlson Wagonlit Travel, which offers recreational trips to older adults at social risk.
• Miss Venezuela, promotes among its candidates the training in ERs, sustainable development, human rights and the Millennium Development Goals of the United Nations, as well as involving them in various volunteer activities.
• Leadership Training, Since 2008, the Cisneros Organization has sponsored the participation of young Venezuelans in the "Global Competitive Leadership Program" of Georgetown University in Washington D.C.
• Solidarity volunteers, Corporate Volunteering Program for Cisneros Organization Workers in Miami, Florida.
• Responsible tourism, program of the Tropical Foundation that supports the development of communities adjacent to the municipality of Miches in the Dominican Republic.