Pan-European TV Venture Weighed

Mediaset, Italy’s largest private television company, Rupert Murdoch’s TV companies, Germany’s Kirch Group and Saudi Prince Alwaleed bin Talal are in talks to create a European TV powerhouse, officials at some of the companies said.

One of the ideas under discussion involves the purchase of stakes in debt-laden Kirch, Germany’s second-largest media company, by Mediaset; British Sky Broadcasting, England’s biggest pay TV company, controlled by Murdoch’s News Corp.; and possibly the Saudi financier, one official said.

This plan, which may involve a share offering by Kirch, is still in the early stages, and the companies haven’t yet agreed on any details, he said. BSkyB said it had a “preliminary look” at possible partners but was not close to a specific agreement.

A pan-European venture could allow the three companies to jump ahead of industry leader Canal Plus without sparking antitrust concerns.