German media group, Bertelsmann, may be interested in making a takeover bid for the UK’s Carlton Communications, according to a report in yesterday’s Observer newspaper. The article claims that the two companies have held ‘informal discussions’ recently, but that there are no ongoing negotiations.
An approach to Carlton by Bertelsmann would almost certainly set off a bidding war between the other ITV giant, Granada. A Carlton-Granada merger has long been seen as the final hurdle toward the consolidation of ITV into a single entity.
Carlton is currently an attractive prospect for potential buyers as its share price has plummeted over recent months due to the downturn in the advertising market (particularly television) and concerns surrounding the prospects for ITV Digital (see ITV Digital Reduces Costs And Grows Subs 36% In Q3).
RTL has declined to comment on the Observer‘s report, which also claimed that Bertelsmann might be looking at moves into the UK radio market.