Analysts value company up to $255 bil

London’s Carlton Communications has formally put up for sale its subsidiary Technicolor, valued by analysts at up to £1.7 billion ($2.55 billion).

The world’s No. 1 film and video duplication firm, with annual revenues of $1.5 billion, Technicolor goes on the block just days after United News & Media’s sale of its U.S. publishing division (Daily Variety, May 10).

Both Carlton and UN&M are clearing the decks for a merger, announced last fall, that would produce Britain’s top ITV network player.

Proceeds from the Technicolor sale — thought likely to attract attention from Bertelsmann, Time Warner and Matsushita — will probably be plowed into the TV and Internet businesses.

But while Technicolor is moving into DVD production, some analysts worry that digital technologies spell a bleak future for its core businesses.

A sale by the Rank Group of competing video duplicator Deluxe is said to have been iced after bids proved inadequate.

Want Entertainment News First? Sign up for Variety Alerts and Newsletters!
Post A Comment 0