Codename Rainbow: Canal Digital sale speculation
Published: 10.12 UTC, March 2, 2011 by Julian Clover
Telenor is exploring a sale of its DTH satellite operation Canal Digital, a move that could spell a major reorganisation of broadcasting in the Nordic region.
In its financials to the period ending December 31, 2010, Canal Digital lost 27,000 subscribers on the quarter, falling below the one million level. The numbers reflect a steady decline in its subscriber base during 2010, while its satellite rival Viasat has gained customers.
Local media website Inside Telecom says the talks, under the cloak of Codename Rainbow, are being led by Telenor vice president Kristin Skogen Lund. The talks are also said to involve the Swedish Bonnier group and Denmark’s Egmont, suggesting that a much wider restructuring could result.
ProSiebenSat.1, which controls the TV Norge and Kanal 5 brands, is also in the process of selling its interests in the region.
Telenor has already moved its successful Norwegian cable TV operation from Telenor Broadcast and into Telenor Norway, while its Danish cable business has been sold off altogether.
A spokesman for Telenor declined to comment on the matter.