Italy regulator may consider Vivendi takeover of Mediaset invalid - report

MILAN (Reuters) - A potential takeover offer for Italian broadcaster Mediaset (MS.MI) by France's Vivendi (VIV.PA) would not be "judicially acceptable" for Italian communications authority AGCOM, daily la Repubblica reported on Tuesday, without citing sources.

Vivendi is now the second largest shareholder of the Milan-based TV group, with a stake of 28.8 percent, while also being the top shareholder in phone incumbent Telecom Italia (TLIT.MI), with a 24.9 percent share.

Italy's anti-trust regulations prevent companies from having an excessive share in both the domestic telecommunications and media markets.

In preliminary investigations by AGCOM, four commissioners have agreed in considering the possible move by Vivendi "invalid" but would communicate the decision to Italy's market watchdog only if the French media group decides to make a bid for Mediaset, the daily reported.

Both Mediaset and Vivendi will have to present AGCOM with all required documentation for the investigation by Jan. 21, it added.

AGCOM opened an investigation into Vivendi's stake-building into Mediaset in late December, after the Italian broadcaster made a complaint.

(Reporting by Giulia Segreti; Editing by Biju Dwarakanath)