Liberty Media and News Corp in talks over TV assets

"There are certain small assets that we feel fit Liberty better than News Corp. We could exchange small amounts of our News Corp shares back for these assets," Malone told the FT.

Although no specific details were given about what channels might be sold by Rupert Murdoch, the suggestion is that it could be the international arms of National Geographic and FX channels.

The new Fox channel FX International was launched in the UK in January with audience figures just topping the 25,000 mark. It offers a schedule of reruns and men's programmes, including the UK debut of talked-about sitcom 'The Mind of a Married Man'.

Liberty Media is one of the largest single shareholders in News Corp, owning a 9.15% voting stake, which it bought in January.

The news that News Corp might be selling some of its international assets follows the decision earlier this month to move its corporate headquarters and primary listing from Australia to New York.

The US is by far and away the most important market to the media giant. It generates more than 75% of its earnings there through its Fox broadcasting, 20th Century Fox and satellite broadcaster DirecTV.

Malone's Liberty plans to spin-off its international business later this year giving it a market value of somewhere between $4-$6bn.

In addition to an acquisitions war chest running as high as $6bn Malone aslo said that a rights issue would add a further $500m to-$1bn.

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