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Seven West up on Presto nod

Seven West up on Presto nod

Shares in Seven West Media rose after the company was given the all-clear to enter a joint venture with Foxtel for the Presto TV subscription video on demand service.

The Australian Competition and Consumer Commission (ACCC) announced today it would not oppose the 50/50 joint venture deal that will offer subscribers access to general entertainment content including premium, library drama and children's content.

The ACCC determined that Presto would face strong competition from other similar services such as Stan, a joint venture between Nine Entertainment and Fairfax, and Netflix, the US streaming giant that plans to launch in Australia later this month.

The management team for the Presto TV joint venture is set to be announced soon.

Seven West Media chief executive Tim Worner said Presto was up and running, with great partners in Foxtel.

"The combination of the leader in subscription television and the leader in broadcast television - coupled with our strengths in content creation - delivers a compelling offer to audiences," he said.

"Our future is our content and our ability to deliver that content anywhere, anytime on any device to our audiences."

Foxtel chief executive Richard Freudenstein said the company had big plans for Presto to be a leading player in the subscription video on demand space and were excited to accelerate plans for Presto TV with partners Seven West Media.

Presto is offering prospective customers a free 30-day bundled trial, after which subscribers can opt for Presto TV or Presto Movies for $9.99 a month or both services for $14.99.

Shares in Seven West were up 14 cents, or 9.46 per cent, to $1.62 at 12.30pm.