When BSkyB reports its full-year results tomorrow, it is expected to announce a deal to acquire 57% of Sky Deutschland and 100% of Sky Italia from 21st Century Fox. Speculation has swirled that this deal is near since it emerged that Rupert Murdoch’s behemoth had bid $80B bid for Time Warner. In May, UK pay-TV giant BSkyB confirmed it had initiated preliminary discussions with Fox to evaluate a potential acquisition of the latter’s pay-TV assets in Germany and Italy. Fox also owns 39.1% of BSkyB. A combination of the businesses would have about 20M subscribers, and could also provide a payday to Fox of an estimated $13B. I’ve been cautioned that these funds are not necessary for Fox to be able to up its bid for TW, but it would put extra money in the coffers while creating a huge pan-European group. “It could just be that 21st Century Fox sees it as a useful way of generating funds and eases management time to concentrate on other things. But the reason for doing it would exist on its own merits,” Enders Analysis’ Toby Syfret tells me. It’s worth remembering that English Premier League soccer rights are coming to auction again in 2015 and extra cash could certainly come in handy. (more…)