BSkyB link-up boosts shares

SHARES in BSkyB forged ahead yesterday as the market welcomed its digital pay television alliance with Germany's Kirch Gruppe…

SHARES in BSkyB forged ahead yesterday as the market welcomed its digital pay television alliance with Germany's Kirch Gruppe. BSkyB added 15p to 469p on the strength of a deal under which BSkyB will acquire a stake of up to 49 per cent in DFI, Kirch's digital television platform in Germany.

Analysts do not expect BSkyB to pay any initial cash consideration for its share of DFI, which goes live in Europe's biggest market later this month with 17 channels.

But BSkyB is expected to help shoulder start up losses over the next three years.