Bundeskartellamt clears RTL/n-tv merger

The Bundeskartellamt has cleared the acquisition of the sole control of the news channel n-tv by RTL Television GmbH, Cologne since it fulfils the failing company defence. RTL already holds 50 per cent of the shares in n-tv Nachrichtenfernsehen GmbH & Co.KG, Cologne and intends to take over the remaining 50 per cent stake held by its co-partner CNN/Time Warner.

The proposed concentration affects the national TV advertising market in Germany. In this market the RTL group, Luxemburg, with its TV channels RTL, VOX, Super RTL and n-tv, already holds a collective dominant position as a duopoly with ProSiebenSat.1 GruppeMedia AG, Unterföhring.

Bundeskartellamt President Dr Böge stated: “The Bundeskartellamt’s competitive assessment that the exclusive control of the n-tv news channel by the RTL group will strengthen the duopoly’s dominant position in the TV advertising market remains unchanged. However, investigations have shown that n-tv’s market potential and advertising customers would go to RTL or the duopoly even if the merger were prohibited because the channel would have to be discontinued if the takeover did not materialise. No other potential acquirers came forward due to n-tv’s economic situation and the market conditions. In such a case (failing company defence) the law provides for the approval of the merger project.”