Virgin Media May Sell Virgin Television (VMED, VMTV)

Virgin Media

is said to be in the middle of talks to dispose of Virgin Media Television to BSkyB, although neither company has confirmed the rumors. According to a report released by JPMorgan Chase

, Virgin Media (

) had earlier indicated that VMTV constituted a non-core business. The company had tried to negotiate with BSkyB earlier, but the talks did not materialize due to issues of price and guarantees of continued access to channel content. The deal is not likely to include VMED’s stake in UKTV. In the last month VMED stock has come off 15%, and it is currently trading at 4.0x EV/EBITDA. The report stated that the current price does not reflect the company’s strong cash flow positions.