Wed, 26 May 2010 | BUSINESS SALE
Europe's biggest TV, radio and production company, RTL, is gearing up to invite bids for TV channel Five after months of speculation about its future.
RTL, which is mainly owned by German media giant Bertelsman, has put a team together that will prepare the sale process for the channel.
Rumours surrounding the broadcaster in the past have alluded to a possible merger or joint venture with Channel 4. In March 2009, Bertelsman chief executive Thomas Rabe said the firm's business model was "not sustainable", after being hit by the advertising downturn and increasing competition.
The broadcaster's programme schedule has suffered from numerous changes in management, which leans heavily on US shows including CSI and The Mentalist, as well as Australian import Neighbours.
Possible buyers are thought to include rival British broadcasters ITV, Channel 4, and BSkyB. Speculation has also put some US companies forward as potential new owners, such as Warner Bros or production firm Endemol.
RTL wrote down the value of its investment in Five from €503 million to €112 million after two years. The strained TV channel lost a total of £37 million in 2009.
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