7 Jan 2014
The international cable TV and broadband provider Liberty Global is rumoured to be close to announcing a deal under which it plans to acquire Dutch cable market leader Ziggo. According to a report from Bloomberg, which cites unnamed sources, the parties are still ironing out the details, including the final acquisition price, and an agreement could be announced later this month. Liberty Global already holds 28.5% of the shares in Ziggo and controls the firm’s nearest rival in the Dutch cable market, UPC.
A merger between the two firms would create a cable operation with some 10.8 million revenue generating units (RGUs), and any deal would come under scrutiny from competition authorities. Ziggo, which is currently valued at around EUR6.7 billion (USD9.1 billion), has already turned down one takeover approach from Liberty Global, with the Ziggo board revealing that the October 2013 offer was ‘considered inadequate’.