ITV’s sale of Friends stalls
ITV’s attempt to offload its social network Friends?Reunited for £25m hit a stumbling block last night, after the competition watchdog warned the deal could breach competition law.
The Office of Fair Trading (OFT) has asked the Competition Commission to investigate the proposed sale’s impact on the family tree research sector.
Brightsolid, a subsidiary of DC Thompson, said it would buy the site last August and use it as the to build an online genealogy powerhouse.
But the OFT said yesterday the deal could leave too few players in the sector, meaning “a reduction in choice and service for consumers”.
Brightsolid wanted to combine its findmypast.com and 1911Census.com websites with Friends Reunited’s Genes Reunited.
“People’s growing interest in researching their family tree has made this an increasingly important market,” Amelia Fletcher of the OFT said. “We are concerned this merger could lead to a reduction in choice or service for consumers”.
ITV and Brightsolid said they were “disappointed” by the move, and Brightsolid’s boss Chris van der Kuyl said it was good for competition.
The Commission has a deadline of 16 April 2010 to reach a conclusion.