Liberty Media Corp. Chairman John Malone has held talks with Vivendi Universal about acquiring the French company's 22.7-percent stake in Britain's BSkyB in exchange for Liberty's interests in Barry Diller's USA Networks, the London Sunday Times reported. Vivendi Universal, which already holds a substantial stake in Diller's company, must dispose of its interests in the U.K. satellite service within two years as part of an agreement last year to win approval by European regulators of Vivendi's merger with Seagram.

Source: Studio Briefing