Rumour has it that Liberty Media’s John Malone is quietly withdrawing from the bidding for Vivendi Universal’s entertainment assets despite being considered to be a frontrunner in the auction. Insiders reckon that Vivendi’s increasingly tough negotiating and increased asking price has turned him off the deal – Liberty recently bought out Comcast’s controlling stake in QVC for $8bn meaning spare funds to satisfy Vivendi’s growing demands are not likely to be available.
With MGM also out of the bidding that leaves NBC the favourites to acquire all of Universal’s entertainment companies, bar the record labels. That said other rumours suggest Vivendi CEO Jean-Rene Fourtou is now considering a flotation route.