ITI, the parent company of TVN has opened a representative office in Moscow, according to today’s ‘Gazeta Prawna’ daily. ITI plans joint production of entertainment shows and films with Russian producers. It is also going to make available its just launched its digital platform named ‘n’, to Russian customers. TVN is going to sell license rights to its programming.
Our view: Russia is the largest and the fastest growing advertising market in CEE, which makes its TV companies a potentially valuable partner. We view the news as slightly positive. Nonetheless, we reiterate our Hold rating for the stock.