EU give News Corp go-ahead for Premiere stake
(BRUSSELS) - The European Commission approved on Wednesday News Corp.'s purchase of a 25 percent stake in German pay-television operator Premiere.
Europe's top competition watchdog said it gave its go-ahead to the deal after the US media giant committed to ensuring that third-parties would have access to Premiere's satellite platform.
"Television is clearly a product that concerns the European consumer directly," EU Competition Commissioner Neelie Kroes said in a statement.
"I am satisfied that the commitments received ensure that the German pay-TV market will remain open and that competitors will continue to have access to Premiere's satellite platform to the benefit of customers in Germany."
News Corp. said in May it had raised its stake in Premiere to 25.01 percent, the second increase since buying into the firm in January amid speculation that the German company would become the object of a takeover.
Premiere has more than four million subscribers but operates in a competitive market where most homes are hooked up to cable networks.
The pay-TV group hit hard times in late 2005 when it lost exclusive transmission rights to German first division football matches and recent takeover rumors have tipped the French group Vivendi as a potential bidder.
News Corp. owns several holdings in European pay-TV companies, including BSkyB, the leading group in Britain.
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