RDF Media receives £50m management buy-out bid

by Nikki Sandison, Brand Republic 12-Nov-08, 10:00

LONDON - RDF Media's executive directors and Cyrte Investment, 'Big Brother' founder John de Mol's investment vehicle, have made a £50m offer for the company to its independent directors.

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The production company, known for making shows including 'Wife Swap', and 'Location, Location, Location', received an initial takeover approach from the consortium back in April when De Mol emerged as its backer.

He is supporting the bid through Cryte Investments, which already holds a 27.5% share of RDF.

Since April the consortium has been trying to put together financing for the deal amid the financial crisis.

RDF Media's independent directors Richard Eyre, Maggie Carver and Tim Weller said that they have received an indicative cash proposal for an offer of 120p per share, which values the company at about £50m.

They said in a statement released today that the offer discussions are nearing completion and a further announcement of a recommended offer of 120p per share is expected in the coming weeks.

RDF Media is headed by chief executive David Frank and produces shows including 'Wife Swap', 'Location, Location, Location', 'Ladette to Lady', 'Shipwrecked' and 'Christian O'Connell's Sunday Service'.

Last year, RDF was involved in a storm with Buckingham Palace and the BBC after it supplied a misleading trailer for its programme 'A Year with the Queen'.

Footage had been reordered to suggest Her Majesty had walked out of a photo shoot with photographer Annie Leibovitz, but this was not the case.