RDF Media says it is considering a GBP50m (USD75m) takeover offer from a consortium featuring Cyrte Investment, a company linked to Big Brother founder John De Mol.
RDF, the independent production company responsible for TV shows such as Location, Location, Location and Wife Swap, says it expects to receive an offer of GBP1.20 (USD1.80) per share in the coming weeks. Shares in the firm rose 42.5% to GBP0.99 (USD1.48) following the announcement.
Banks financing the takeover include Barclays, Allied Irish and Royal Bank of Scotland, according to The Daily Telegraph.
RDF received a takeover offer in April this year from its management team, led by the company's founder and chief exec David Frank. However, the economic climate over the past few months made it uncertain whether a buyout would take place.
Based in London, RDF has three core divisions: RDF Rights, RDF Management, and RDF Interactive. This year, the company reported a 14% fall in revenues, blamed in part on a controversy surrounding footage of the Queen. In 2007, the company incorrectly edited a trailer to suggest that the Queen had stormed out of a photo shoot. The BBC and ITV consequently imposed a commissioning ban on the firm.
StrategyEye's related companies: BBC, Allied Irish Banks, Barclays Capital, RDF Media, ITV, Cyrte Investments, Royal Bank of Scotland
