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Sun TV bid shrouded in confusion

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SCMP Reporter

A bid by satellite broadcaster Sun Television Cybernetworks Holdings to buy a Taiwan TV station was last night mired in confusion.

Mainboard-listed Sun TV announced last month it had entered into an agreement to take a 60 per cent stake of Satellite Entertainment Communication for HK$45 million.

However, Satellite Entertainment yesterday said in a Taiwanese newspaper that its board had unanimously voted to reject the acquisition on March 14, because the island's broadcasting authority, the Government Information Office, considered Sun TV a company with a Chinese background.

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However, the story took a new twist last night when a Sun TV spokeswoman said it had been informed by Satellite Entertainment that its board had not rejected the resolution on the acquisition. It said SEC would make a clarification on or before next Tuesday. She said the transaction would proceed.

Sun TV entered into a share-swap deal with mainland Internet portal sina.com in September last year. One of the key shareholders of sina.com is red chip Stone Electronic Technology.

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If the Sun TV bid is rejected, it will be the second time a Hong Kong-listed broadcaster has been blocked from entering Taiwan.

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