Discovery: OpenTV should acquire Kudelski’s stake

Discovery Group, the largest shareholder in interactive TV specialist OpenTV, has recommended the company buys out the stake held by Switzerland-based technology firm Kudelski Group.

Kudelski, which owns 32% of OpenTV, recently had an approach to take over the company rejected. Discovery has now proposed that OpenTV should repurchase Kudelski’s stake for US$1.35 (€1) per share. Discovery said Kudelski’s plans to use idle cash at OpenTV to fund acquisitions would not serve the best interests of OpenTV’s US shareholders. It said a better option would be for OpenTV to buy-out Kudelski for approximately $60 million