Netgem in the frame for Pirelli acquisition

French set-top provider Netgem has confirmed its in talks to buy Italy-based rival Pirelli Broadband Solutions.

Netgem’s statement followed a report by Reuters that three companies were interested in buying the Pirelli unit, including set-top provider ADB and German investor Aurelius, with a sale likely by the end of October. A merger between Netgem and Pirelli Broadband Solutions could potentially double the former’s revenue.