BBCWW slashes 2Entertain offer

BBC Worldwide has reportedly cut its £100m (US$148m) offer to buy-out 2Entertain, the DVD distribution business it co-owns with collapsed retailer Woolworths, by more than half.

BBCWW and Woolworths, which went into administration at the end of last month, are still in talks over the sale of 2Entertain, which is run as a 60-40 joint venture between the pair.

But BBCWW has now reduced its offer to £40m, according to the Financial Times, a claim the organisation has not confirmed. No deal has as-yet been agreed.

The newspaper claims that under the terms of the deal signed between BBCWW and Woolworths, 2Entertain would lose rights to distribute DVDs of BBC shows such as Blue Planet and Doctor Who, should Woolworths go bust.

Now that this has happened, this is said to be a factor that has weakened Woolworths position in the negotiations and strengthened BBCWW’s hand.

Should a deal be concluded it has also been suggested that 2Entertain could be among the BBCWW interests that may be merged with Channel 4 in an effort to prop up the latter pubcaster’s business.