SBS Broadcasting is taking a one third stake in Polish commercial channel TVN.

According to an agreement reached last week, SBS will acquire Dutch-registered Strateurop International, a subisidiary of TVN’s owner ITI. This company owns 33 per cent of TVN’s stock. SBS is paying about $40 million in stock and $92 million in cash. The transaction must be completed by May 26.

Jan Wejchert, ITI’s president said that the contract allows SBS’ stake to increase to 50 per cent if the Polish media law changes to allow this to happen. The agreement means that TVN should ultimately fall into the hands of UPC, which is taking over SBS. In Poland UPC operates the digital satellite package WizjaTV and owns the country’s largest cable network, Polska Telewizja Kablowa.

The combination of SBS, UPC and TVN is likely to transform the Polish TV landscape.

SBS’ involvement has huge strategic significance for ITI and TVN, especially with regard to future investment in interactive services. TVN president Mariusz Walter said that in the autumn of this year TVN, in cooperation with SBS, will create a new information channel.

TVN is the eleventh SBS investment in the central and western European TV market. But for the first time, SBS has agreed on a minority stake without overall management control. However, SBS has been trying to enter the Polish television market for some time. In June the company tried to take over NaszaTV, but the channel’s shareholders blocked this move.