ENTERTAINMENT One has hired banks to help it field takeover interest, two sources told City A.M. yesterday.
The firm behind the Scream 4 film and the Peppa Pig children’s television show is expected to announce the interest to the stock market as soon as this morning.
The group is understood to have asked JP Morgan and Credit Suisse to advise it on early stage takeover talks with a number of interested parties. JP Morgan declined to comment last night, while Credit Suisse did not respond to a request for comment.
London-listed Entertainment One has a library of more than 20,000 film and television titles, and operates mainly in the US, Canada and the UK.
The group was formed in Toronto in 1973 as a music distributor, before switching focus to movies and television. It listed on AIM in 2007 before moving to the main market last year.
Marwyn Value Investors owns 75.4m shares, or 39.3 per cent, of Entertainment One.
The group issued 8m new shares in February to fund potential acquisitions.
Shares in the company closed flat at 163p yesterday, giving Entertainment One a market capitalisation of £353m.