MTV Networks has sold its majority stake in a Russian joint venture for $360 million, reducing its participation in a market where it was a pioneer in bringing western youth culture to the eastern bloc.

According to Financial Times, MTV sold its 53 per cent share in MTV Russia to Prof-Media, a local company with interests in film production, theatres and radio. Prof-Media will pay for a licence to operate the network.

The decision by MTV is part of a restructuring at the cable group aimed at improving international profitability after a long period of expansion. As part of the process, the company has moved to licensing deals in smaller, less-promising markets while taking ownership stakes in more robust ones.

Last year, MTV converted several networks in south-east Asia, including Thailand, to licensing agreements while it bought out the half of MTV Japan it did not own. Recently, it has entered into a wide-ranging partnership in India.

“We are really choosing to focus our activities in those markets where we believe our investments will pay off in a big way for a long time,” Philippe Dauman, Viacom’s chief executive, told the Financial Times after the India deal.

Bill Roedy, head of MTV International, said the Russian sale was not driven by concerns about the regulatory or political environment that have recently rattled other foreign businesses.

“The prospects are very good in Russia. I happen to be very bullish,” Mr Roedy said. “It’s never linear. It’s always two steps forward, one step back.”

He predicted Prof-Media’s ability to cross-promote MTV Russia and sister network VH1 through its other properties would allow them to achieve greater growth.

MTV began distributing its music videos in Russia in 1989. It launched MTV Russia in 1998 through Russia Partners, a private equity firm. The network now reaches nearly 94m viewers in the Russian Federation, but only a fraction of those are cable or satellite TV subscribers, making it reliant on advertising.

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