UK pay TV operator Virgin Media Inc (NASDAQ:VMED, LON:VMED) said today it was in talks with Liberty Global Inc (NASDAQ:LBTYA) about a takeover bid by the US cable TV company.
The statement came to confirm an earlier report by the Financial Times, which cited unnamed sources as saying that Liberty Global was planning a bid for the UK firm, which has an enterprise value of some USD20bn (EUR14.8bn).
Virgin Media added that a potential deal would be subject to regulatory approvals and other conditions. It did not elaborate further.
Virgin Media was created from the merger of cable groups Telewest Plc and NTL Inc and mobile operator Virgin Mobile. It is UK’s second biggest player after British Sky Broadcasting Group Plc (LON:BSY), or BskyB.
A potential transaction would come more than five years after Liberty Global first planned to approach the UK firm.