Virgin Media prepares to offload its content division
 

Virgin Media is expected to begin the sale of its content division, said to be worth about £500m, within weeks.

Interested parties are thought to include BSkyB, NBC Universal, RTL Group, several private equity groups and Channel 4. The content assets were put up for sale in 2005 and bids were placed for about £1bn.

The sale of the content operation is complicated by Lord Carter's Digital Britain review, which has suggested Channel 4 should look for possible synergies with BBC Worldwide to solve its funding crisis. It is understood the broadcaster is in talks with BBC Worldwide about possibly taking on certain sales contracts from IDS to beef up its scale, price and power in the market.

It is also thought that, should a Channel 4 and IDS deal come to fruition, the appeal of Virgin Media's content division to the likes of BSkyB and RTL Group would drop, potentially eliminating these companies from the sale and affecting the price tag of Virgin's content division.

A TV executive close to Virgin said: "Two years ago, Virgin took a strategic decision to exit the content business, but it has been delayed several times. But now it is likely it will issue an information memorandum to the market after its board meeting in March."

Virgin Media, Channel 4, BSkyB, IDS and BBC Worldwide declined to comment. RTL Group was unavailable for comment.

http://www.mediaweek.co.uk/news/8835...tent-division/

Story from Mediaweek.

Re: Virgin Media prepares to offload its content division
 

If virgin took the decision to exit the content business, then why is there still virgin content on the go?

Virgin media are selling tv channels
 

According to The Financial Times, VM are considering selling there Tv channels, So we could have a new company running the TV division, you never know, we could have a better service.:)

Re: Virgin media are selling tv channels
 

financial times? have you changed your reading habits? :p:

Re: Virgin media are selling tv channels
 

The Daily Star

btw, Arthur - it's the channels (Living, Bravo, etc), not the distribution arm, so it wouldn't affect "the service".

Re: Virgin media are selling tv channels
 

thats better :D:D

Re: Virgin media are selling tv channels
 

Would a sold channel incur a cost? Is VMs free TV with phone deal threatened?

Re: Virgin media are selling tv channels
 

Oh Arthur, another stick for you to get the wrong end of. :p:

Virgin Media may be trying to sell off its interests in several TV channels it owns, or part-owns, but it is not trying to sell off its digital TV service through which it provides channels to you.

I could have sworn this story came up a few weeks ago, complete with exactly the same misunderstandings ... :scratch:

---------- Post added at 20:43 ---------- Previous post was at 20:41 ----------

The ownership of channels like Bravo and Living makes absolutely no difference to the price of your TV package or TV/phone bundle.

Re: Virgin media are selling tv channels
 

IF, Vm sold the tv channels, surely that would be the end of VM, as they would only have the BB and Phone arm to deal with, And yes this subject did come up several weeks ago, If l am not wrong, VM own Living TV, so they wouldn't sell that, would they, This is starting to get confusing, I only read The Financial Times, as it was brought up on DS. I prefer, The Sun or Mirror, l have read The Telegraph, but that is a Tory paper, and l am NOT Tory.

Re: Virgin media are selling tv channels
 

Just to back Chris up:

The company being sold off (assuming it happens) is not Virgin Media's DTV provider. It is a seperate company called "Virgin Media Television" and was previously known as Flextech. It provides the Living channels, Virgin one and is part owner of UKTV amongst others.

Re: Virgin media are selling tv channels
 

It's only the *channels* though that they are considering selling, not the actual Digital TV side of the business.


EDIT: Beaten by Stuart, with more detail.

Re: Virgin media are selling tv channels
 

Just to be clear, if VM sold the TV channels, it would not mean that VM could no longer provide its television service to its subscribers. After all, VM don't own Sky, but you still receive the Sky channels via your cable box.

There may be implications for the company when they sell their channels, however. They will get in the order of £500m for that sale, and the question is, how will they use that money? They could use it to bring down their debt, to improve services to VM customers, to invest in HD or IPTV, or perhaps to buy ITV shares. Given the bitterness that flowed from Sky buying up shares in ITV in 2006, thwarting VM's plans at the time, this must still be an attraction for VM, particularly as those shares have plummeted in value and will therefore be cheaper for VM to buy.

There are synergies in these two businesses and both companies have problems - would a merger help towards solving these problems? I really have no idea!

However, I do believe that it would be a mistake for VM to put itself in a position where it had no content as part of its operation, so if it acquired ITV it would have the more lucrative ITV channels instead of the relatively minor VM and UKTV (part owned) channels as part of its business.

Re: Virgin media are selling tv channels
 

All hail Arthur and I LOVE the fact you put financial times, hilarious.

One for ya critics!

Re: Virgin media are selling tv channels
 

I love the fact arthur always manages to make it otu that virgin are really bad and are goign to collapse. I know i have reaidng diffucult i often wodner if arthur has worse dsylexic reaidn that me

Re: Virgin media are selling tv channels
 

You should try reading articles on the internet and in the media, As that is where l get my info from.,

Re: Virgin media are selling tv channels
 

Respect to you Arthur, but reading articles isn't enough. You have to understand them. You totally misunderstood the FT article that you used to start this thread, and it's not the first time you've done that.

Re: Virgin Media prepares to offload its content division
 

Seems sky maybe intrested.
http://www.brandrepublic.com/News/88...V-acquisition/

Re: Virgin Media prepares to offload its content division
 

Re: Virgin Media prepares to offload its content division
 

If Virgin's channels have been up for sale for so long why did they rebrand ftn as Virgin 1?
Surely it will have to be rebranded again following a sale?

Re: Virgin Media prepares to offload its content division
 

As far as I know in 2007 Virgin Media did put them up for sale but they removed them from sale the few months later due to bids from other broadcasters not being high for Virgin to say ''Yes'' to them.

Then last weeks some media web sites posted that ''Virgin are expected to begin the sale of its content division.''

Re: Virgin Media prepares to offload its content division
 

Re: Virgin Media prepares to offload its content division
 

Thanks Chris, when I looked if a thread already existed I couldn't find one so that's why I started my own. Old news I can see now!

Re: Virgin media are selling tv channels
 

Indeed. Whoever buys VMtv will want their own people in charge.

In light of Malcolm Wall leaving VM's tv division today, I go with the last option on that. But before then, Sky have got to fail in their appeal in having to forcibly sell off their stake in ITV.

As you say, ITV's shares are dead cheap, so if Sky does depart it would be a good opportunity for VM, but they're not the only ones who may make a move. RTL being the most obvious one, but also other media/telecoms companies like BT may try to buy ITV too.

Whether this would ultimately improve ITV's fortunes, who can tell. At least they would have their own guaranteed distribution platform, if VM did buy them. But making better programmes would help ITV too.

Re: Virgin Media prepares to offload its content division
 

Why sell a profitable and successful business, VMTV, to pick up shares in an unprofitable and unsuccessful one, ITV, even at a discount?

There's a good reason why ITV's shares are cheap.

I will still run with that VM are as a whole clearing the decks to be sold and the TV division may not have been as attractive to other cablecos / private buyers as the rest of the company.

Re: Virgin Media prepares to offload its content division
 

sorry could someone just clear up the situation for me. Are they selling the tv platform or just the channels they own?

Re: Virgin Media prepares to offload its content division
 

They are planning to sell the share in the UKTV channels which they partly own with the BBC, these channels include UKTV Food,UKTV Style,Blightly,Dave,DaveJaVu,Yesterday,Watch,Alibi and G.O.L.D. Channel 4 is most likely to buy them.

Virgin Media Television Limited formerly Flextech and United Artists TV which owns Living,Bravo,Challenge,Trouble and Virgin 1 has been planned for sale but dont think they will now.

But those UKTV channels definately have to go!!! They are useless!!! Constant repeats from the BBC,hopefully under Channel 4's ownership, more content will be added.

Virgin Media have recently sold off there shopping channels.

Re: Virgin Media prepares to offload its content division
 

I have said all along, that VM has to be taken over, by someone else.
It needs to give the Tv side a boost to give its customers hope, When VM took over, they came with all this rubbish of what it was going to be, and all this was just hype, even l fell for it, if VM sell there channels, then it has to put the money into a major change, that will take on Sky and get more customers, give the customers what they are crying out for more HD channels, better customer service and better quality channels.

Re: Virgin Media prepares to offload its content division
 

The thing is, Virgin Media's wholly owned channels such as Living have more decent programmes on then Sky Real Lives,Sky 2 and Sky 3, Sky show far too many repeats.

So now we have BBCi player,4OD,ITV Net player,Bravo OD,Living OD,Virgin1 OD and soon.......Five on demand and Warner TV.

Wonder if we'll ever see Sky player! just a thought!

Re: Virgin Media prepares to offload its content division
 

Thanks for clearing that up m419. I also think that the whole tv platform should be taken over. The only thing for me virgin's takeover brought was the brand. The cs has gone downhill, along with my internet. Granted they made strides with VOD but that has little of interest to me now as they have a lack of quality of shows, and do not update reguarly. (in mine own opinion)

Re: Virgin Media prepares to offload its content division
 

Well its up to the broadcasters,they choose what goes on NOT Virgin Media! Virgin Media are only responsible for the on-demand content from Living,Bravo,Challenge,Trouble and Virgin 1.

Furthermore, its mostly down to Sky that is holding back Virgin Media from offering good content, since most of the channels are in control or owned by Sky, there is no fair competition and Sky is holding back its rivals,this is unfair competition as they have created a near enough monopoly and keep refusing to provide content or keep rising prices to the point where rivals cant afford,there are also many channels such as Flaunt which have signed a contract saying that ''if you want your channel to be broadcasted across Sky TV, then you must make it available to Sky TV only and not Cable or Freeview.

This is a bad deal for consumers and is bad for the economy and will lead to more job losses,less content on TV and expensive subscription costs.

Furthermore, if Sky did create a 100% monopoly, they would charge such high subscription costs too! similar to how BT did it when they were privatised and didnt really have a competitor until 1986.

There should be regulations on providers that hold a 30% market share or more.

Virgin Media have provided good content on Living and Virgin 1 over the last year with new exclusive shows, remember, it will take longer than over night to do! Some work needs to be done with Challenge TV though!

Sky's channels vs Virgin Media's???

Well I did a poll and people prefered Virgin Media's!

Far too many repeats on the Sky channels!

Airline which has been repeated millions of times on ITV2 and millions of times on Sky Real Lives, Far too many repeats!!! And Sky wanted £48 Million per year for it! No wonder Virgin Media plus 4 million customers said no to Sky channels!!!

Re: Virgin Media prepares to offload its content division
 

We already have Warner TV on TV Choice, or am I missing something here? :confused:

Re: Virgin Media prepares to offload its content division
 

Financial newswire (Mergermarket) saying that the sale process has started:

Re: Virgin Media prepares to offload its content division
 

Do you have a link for that? It looks like it's behind a subscription but you never know...

Re: Virgin Media prepares to offload its content division
 

Sorry but it is a subscription service. Have checked and not available without logging in :(

Re: Virgin Media prepares to offload its content division
 

bid tv, price-drop tv and speed auction tv sold:

http://pressoffice.virginmedia.com/p...2090&highlight=

Re: Virgin Media prepares to offload its content division
 

Update: Three buyers in running for Virgin Media’s TV channels

Virgin Media is understood to have drawn up a shortlist of three potential buyers for its VMtv channels.

They are: Channel 4, Time Warner and BSkyB.

Info from The Times.

---------- Post added at 13:24 ---------- Previous post was at 13:18 ----------

http://www.digitalspy.co.uk/broadcas...-channels.html

Sky to buy vm channels?
 

According to DS, Sky are through to another round to buy VM Tv and its TV channels for 600 million quid, l knew there was something in the air, as we are not getting HD channels.:)

Re: Sky to buy vm ?
 

Rather misleading thread topic don't you think?

Re: Sky to buy vm ?
 

Try reading DS, it is on there, and there is another bidder as well.

Re: Sky to buy vm ?
 

For gods sake

If your going to wind people up at least try and get it believable

Its for the tv channels NOT the network.

Read up and then post.

I think the mods need to correct the thread name so its correct

Re: Sky to buy vm channels?
 

Thread title amended.

Re: Sky to buy vm channels?
 

Thanks for the update Russ.

Re: Sky to buy vm channels?
 

Thanks

Re: Sky to buy vm channels?
 

I doubt Sky have much ready cash with the loss on the shareholding in ITV...

Re: Sky to buy vm channels?
 

I don't think C4 have a lot of readies either. Not sure about Time Warner though.

Re: Sky to buy vm channels?
 

They've been made to give up their share in one channel, it's unlikely that ofcom would stand by and let Sky take on a whole suite of channels :/

Re: Sky to buy vm channels?
 

Thanks Russ,CFT for that, we can always make mistakes can't we.

Re: Virgin Media prepares to offload its content division
 

I hope to god that Sky don't end up buying them. This will seriously decrease the competition in the market place as Living is quite popular. What wil happen then? More VM held to ransom by Sky when the next round of channel renewal comes up?

Re: Sky to buy vm channels?
 

CH 4 have quite a few readies in the bank at the moment but they are currently arguing over a funding gap of about £150 million so I doubt buying the VM channels would help their cause right now.

Time Warner lost £11 billion last quarter so who knows?

Sky... are probably in the strongest position as they haven't been forced to sell the ITV shares yet and as was seen with the purchase of Easynet...they can always find the cash when needed.

I do hope that Sky don't win through though. I would imagine that Living is the strongest performing channel out of the bouquet on offer and would this possibly lead to another ransom situation at renewal time?

Re: Virgin Media prepares to offload its content division
 

Some on, Sky will buy them and then after any redemption period rent them back at 10 times their value :-)

Re: Virgin Media prepares to offload its content division
 

I think it would be extremely shortsighted of VM to sell these channels to Sky. It will be a rod for their own backs with every renewal. It could be a competition issue as well.

Re: Sky to buy vm channels?
 

I hope Sky do buy over virgin and we mite get better tv service and we would get all the sky tv channel and sky HD channel to my v+box breaks down all the time I have had VM out over and over to fix then a few months go by and it happeng again I an so sick of this I am thinking of going SKY+HD OK

Andrew,

Re: Sky to buy vm channels?
 

Perhaps Sky want to do a deal with Virgin swapping the ITV shares for there VM channels

Re: Virgin Media prepares to offload its content division
 

Re: Virgin Media prepares to offload its content division
 

Chris CFT, I have no problem with that, I think for the future prospect of better quality of entertainment channels etc, it would be a good idea if Sky did buy channels, then we wouldn't have the aggro, that we had, when VM cancelled the agreement with Sky.

Re: Virgin Media prepares to offload its content division
 

strange, I thought Sky already owned Sky1 when VM refused to pay the price Sky wanted for VM to show it, I must have got it wrong :rolleyes: