Summary


Channel Five owner RTL may join race for ITV with Pounds 5bn bid

RTL, the owner of Channel Five, is reported to be working with private equity firms on a Pounds 5 billion-plus takeover bid for ITV to rival the planned bid from cable giant NTL. The Luxembourg-based broadcaster is looking at taking a minority stake in ITV, with private equity firms putting up the bulk of the money to fund a deal. However, even it does not take full control of ITV, analysts predict that it would have to sell Five in order to fund a deal and to satisfy UK regulators. RTL has said it would not rule out a bid. ITV is still waiting for NTL to outline details of its plans, with much of investors' emphasis focused on the price the cable group is prepared to pay and the extent to which it can offer cash rather than its own New York-listed paper. ITV shares rose 2p to 1163/4p.

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