TF1 and M6 propose to keep separate television agencies for 3 years following their merger, according to information from Figaro on Friday.
According to the daily, this proposal for separate management is part of the remedies proposed by the parent companies of the two groups, Bouygues and RTL Group, to respond to the competition problems posed by the marriage of the two television channels.
The remedies proposed to the Competition Authority are currently being consulted with competitors of TF1 and M6, who have until August 25 to submit their comments.
Neither the Competition Authority, nor TF1 or Bouygues wanted to comment on the information from Le Figaro, and no M6 official might be reached on Friday.
The Competition Authority is organizing hearings on the merger project on September 5 and 6, and its final decision is expected in October. Its investigation services issued an unfavorable opinion, which the Authority’s college is not obliged to follow.
The combination of TF1 and M6 would create a French giant in the market for audiovisual rights, channel distribution and television , with approximately 75% of French turnover in the latter sector.
According to the commitments reported by Le Figaro, the strict separation of the two authorities (autonomous governance, ban on speaking to each other, etc.) might be extended by 3 years if the Authority so requests.
The networks on the radio medium would also remain separate.
Regarding audiovisual production, the two channels promise to “limit the circulation of French films on the antennas of the potential group”.
In addition, Bouygues and RTL Group would undertake to extend by one year the terms of the distribution contracts for the TF1 and M6 group channels, in particular at Canal+ and the telecom operators – Orange, Free, SFR -.