
Two behemoths coupling?
By Jo Best
Published: 10 November 2006 15:35 GMT
With one massive merger with Telewest under its belt, the soon-to-be-renamed NTL is looking for another - this time with troubled broadcaster ITV.
The quad-play company revealed today it has been in talks with ITV but maintains that the discussions are at preliminary stage.
"NTL confirms that it has advised ITV of its interest in exploring a possible combination transaction and has scheduled an initial conversation with ITV to that end," the company said in a statement.
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While many in the industry have questioned the wisdom of the coupling of the two beleaguered giants, Virgin head Richard Branson - whose mobile operator Virgin Mobile was bought by NTL:Telewest in April - has given the proposed merger his support, according to press reports.
It's thought NTL may see such a union as a way to bolster its content offerings and fight off competition from Rupert Murdoch's BSkyB, which recently entered the broadband arena and put itself in direct competition with NTL.
ITV, on the other hand, remains without a chief executive following the departure of Charles Allen last month and has suffered from falling advertising revenues.
The company has previously expressed an interest in bumping up revenues via technology and bought web success story Friends Reunited late last year.
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