CTV MAKES OFFER TO BUY NETSTAR
By Adnews Staff
Toronto-based CTV Inc. has put in an offer to purchase 68% of NetStar Communications, the percentage not already owned by U.S.-based ESPN. NetStar is a holding company whose broadcast assets include The Sports Network, LeReseau des Sports, plus ownership interests in Discovery Channel Canada, Dome Productions Inc., Viewer's Choice Canada, NTN Canada and the St. Clair Group. The offer made by CTV totals over $900 million. CTV estimates that the proceeds payable to existing Canadian shareholders for their 68% interest will be approximately $394 million. Completion of the acquisition would be subject to approval by the Canadian Radio-television and Telecommunications Commission. The offer is a result of ESPN's decision to exercise its right to arrange for another third-party to make a new offer for NetStar. ESPN has also agreed not to solicit any further offers for NetStar. Late last month, Winnipeg-based CanWest Global Communications Corp. made a bid to buy Netstar.