Amazon To Launch Takeover Of Lovefilm?

Amazon To Launch Takeover Of Lovefilm?

Amazon, the worlds largest online retailer, is said to be in talks with movie rental company Lovefilm with the view to takeover the firm.

Amazon already owns a 42% stake in Lovefilm. The US retailer made a large cash investment as a result of a partnership with Lovefilm after the UK company acquired Amazon’s european DVD rental business in February 2008.

The Sunday Times reported news of the deal but did not cite any sources, neither Lovefilm or Amazon were able to be reached to comment on the deal.

The deal could see Amazon bolster its media arm, offering both rental DVD’s, consolidating retail purchases and also looking to build a movie streaming service that could rival the likes of Netflix in the US.

More on this as it develops.

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