LIBERTY GLOBAL, the Colorado-listed parent company of Irish cable TV providers NTL and Chorus, is interested in acquiring Setanta Sports’ Irish business, which was yesterday put up for sale following the collapse of its sister operation in Britain.
Shane O’Neill, Liberty’s Irish-born chief strategy officer, said: “We would be interested in the Irish side of the business. We like the channel and it’s liked by our customers.”
Cable providers NTL and Chorus pay to carry Setanta Sports Ireland as part of their basic packs of channels to more than 500,000 households in the republic.
Liberty is a shareholder in City Channel, a Dublin-based TV station founded by broadcaster David Harvey. It also owns sports channels in the Netherlands, and central and eastern Europe.
Mr O’Neill said Liberty might be prepared to partner with others to invest in Setanta’s Irish arm. “We are very flexible . . . we partner with people all the time.”
Music promoter Denis Desmond, who owns 20 per cent of Setanta Ireland, confirmed that he is also in discussions about buying the business here.
“We are talking to them,” he said, in a reference to discussions with Deloitte, which was yesterday appointed as receiver to four Ireland-based Setanta companies. Deloitte is also acting as an administrator to two Setanta entities in the UK.
It is understood that a number of expressions of interest have already been lodged with Deloitte in relation to the Irish business, which could have its fate decided in a matter of days.
It is not clear if Setanta’s founders Leonard Ryan and Michael O’Rourke will seek to participate in a rescue of the Irish company. The pair are expected to mount a bid for Setanta’s international business, which was also put on the blocks by Deloitte yesterday.
Setanta has ceased broadcasting in Britain, with 200 staff there made redundant with immediate effect. Nineteen employees based in Dublin were also laid off. These worked from here for the UK division in shared services.
About 180 staff remain at the Irish business, which is thought to be profitable.
Setanta’s backers called time on the business yesterday after failing to secure additional financing for the business. This followed the loss in recent days of its rights to Premier League football in both England and Scotland. A potential £20 million (€23 million) investment deal from wealthy industrialist Len Blavatnik collapsed late last week.
“This is a sad day for all concerned,” Setanta chairman Sir Robin Miller said. “Unfortunately, in a difficult and highly competitive market, and despite strenuous efforts by the board and management, it has not been possible to find sufficient additional funds in the time available.”
About €500 million was invested in Setanta by its shareholders and lenders in recent years. Its backers included Doughty Hanson, owner of TV3; Balderton Capital; clients of Goldman Sachs; and private investors assembled by Irish stockbroker Davy.
Most of this money went to rightsholders. In 2006, Setanta agreed to pay £392 million for three years of live rights to the Premier League, breaking BSkyB’s monopoly in the process. It also signed deals to secure rights to the Scottish Premier League, the USPGA tour, the FA Cup and England football internationals.
