BSkyB in talks with 21^st Century Fox for purchase of Sky Deutschland and Sky Italia

The pay-TV group BSkyB confirmed on 12/05/2014 that it had entered into preliminary negotiations with its parent company, 21^st Century Fox, to buy the German and Italian pay-TV outfits Sky Deutschland and Sky Italia.

"The company initiated preliminary discussions with 21^st Century Fox to evaluate the potential acquisition of its pay-TV assets in Germany and Italy. BSkyB believes at the right value, this combination would have the potential to create a world-class multinational pay TV group," said BSkyB on 12/05/2014.

"These discussions have not progressed beyond a preliminary stage, no agreement has been reached on terms, value or transaction structure and there is no certainty that a transaction will occur," said the British group.

If BSkyB buys 21^st Century Fox's 57% share in Sky Deutschland, it must make a public takeover offer for the remaining shares in accordance with German law. It would expect to make a bid for minority shareholders' stock without a premium, BSkyB stated on 12/05/2014. The acquisition of Sky Italia would be without a public offer, since 21^st Century Fox…