RTL 'to rival Time Warner for Endemol acquisition'

RTL, the European broadcasting giant that previously owned Channel 5, is thought to be preparing to rival Time Warner in the bidding for Big Brother maker Endemol

However, the company is understood to be holding back on submitting an offer for Endemol until the production giant takes action to reduce its €2.8bn (£2.4bn) debt pile.

Last week, US media giant Time Warner submitted a speculative €1bn takeover offer for Endemol, which is jointly owned by Mediaset, Cyrte (Endemol founder John De Mol's investment vehicle), and Goldman Sachs Capital Partners.

RTL, which is the parent company of The X Factor co-producer FremantleMedia, has submitted a non-binding offer for Endemol, according to a report in Italian newspaper La Repubblica.

An Endemol spokesman said that the company was aware of other interest beyond Time Warner, but confirmed that no other formal offers had been received. He also said that the company was currently discussing with lenders about a deal to restructure its debt.

The Guardian reports that RTL is holding off on submitting a formal offer for Endemol, but will keep a close eye on the situation in case the firm resolves its financial situation and is put on the market.

One source with knowledge of RTL's strategy told the paper: "It is pretty clear they are interested, there is an industrial logic to joining Fremantle and Endemol.

"I think they are interested if it is for sale, but is it? I'm not sure. I am sure they have told the parties involved of their interest if Endemol was ever to come to market, but I'm sure there isn't an offer in the post, so to speak."

Other potentially interested parties could include NBC Universal and Sony, along with Silvio Berlusconi's Mediaset, which is working with private equity group Clessidra to make a bid.

A report in August also claimed that ITV could team up with Mediaset to purchase Endemol, although the UK broadcaster subsequently played down its interest.