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Canal to sell stake in Orange Cinema Series

July 23, 2012 10.26 Europe/London By Julian Clover

The disposal of the Orange Cinema series is part of the conditions in the approval by the French Competition Authority of the acquisition of Direct 8 and Direct Star by the Canal+ Group.

At the same time the regulator said the pay-TV network would be required to take a series of measures relating to the 2006 takeover of its then competitor TPS. A previous ruling had found Canal had reneged on its commitments.

In order to take control of the Groupe Bolloré operations Canal will be forced to sell its stake in the Orange Cinema Series co-owned with France Telecom. It will also be required to make its movie channels available to rival platforms.

Canal only acquired its 33% stake in the Orange-branded movie channels in November 2011, though it had threatened to pull out over conditions imposed by the European Commission.

In other conditions proposed by Canal itself, Canal has agreed not to favour Direct 8 and Direct Star over other channels in the sale of product from Studio Canal.

Regarding the purchase of broadcasting rights of American movies and series, Canal + is committed to “negotiate separately” the purchase of films for its pay channels and the free-to-air channels.

When it comes French cinema, the group said it will buy a maximum of 20 French productions per year.

Canal + also committed itself to sell the broadcasting rights for a number of major sports matches to other FTA broadcasters and to limit the number of matches to be sold to its own FTA channels to five per year.

Canal will also broadcast on Direct 8 or Star a number of football matches she bought for its premium channels, 12 Ligue 1 matches per year and two European matches.

Canal+ has also undertaken not to favour Havas, the advertising agency controlled by the Bolloré Group, the seller of Direct 8 or Star.

The takeover remains subject to the approval of media regulator CSA, which is expected in September.

In two separate statements, Canal said it had approved the framework put forward for the Bolloré acquisition.

However, it maintained its stance against the revision of the TPS takeover conditions and stressed the Council of State was continuing to examine its earlier appeal.

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Filed Under: Newsline, Regulation, Top Story Tagged With: Canal+, France Edited: 24 July 2012 08:09

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About Julian Clover

Julian Clover is a Media and Technology journalist based in Cambridge, UK. He works in online and printed media. Julian is also a voice on local radio. You can talk to Julian on X @julianclover, or by email at jclover@broadbandtvnews.com.

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