Orange looks to offload video
French telco Orange is reportedly in talks with Hong Kong comms outfit PCCW to sell a 49% stake in online video outfit Dailymotion, with the latter expected to pay some $265 million for the holding if the deal comes off. Dailymotion is the second-most-popular video website in Europe, though it lags way behind YouTube in terms of views.
Orange would not confirm the PCCW negotiations but is clearly looking to offload part of Dailymotion. In a statement, it says “discussions remain ongoing with various partners but the group is not in exclusive negotiations with any of them.”
Orange earlier looked to sell a $200 million 75% stake in the company to Yahoo only for the state – which owns 27% of the telco - to block the sale. The government ruled that a French concern can only sell up to 50% of its shares to a non-domestic company.
Gallic pay TV outfit Canal Plus also expressed an interest in acquiring Dailymotion last year in a deal which would have been far more amenable to the French state.