Bids for Travel Channel, in the middle of a bidding process started by its parent Cox, have come in “substantially ahead of initial expectations,” according to FT, citing sources. The bids indicate that the channel could be valued at $800 million or more, higher than the $600 milion - $700 million as expected by analysts. My source said last month that Scripps Networks Interactive (NYSE: SNI), considered a favorite, emerged as the leading bidder in first round bids, and FT reports that the company is on to the second round.

SEE ALSO: Travel Channel Bidding: Scripps, NBCU & News Corp in Line; IAC, TW May Join Later

Others through to the second round include News Corp (NYSE: NWS). bidding through majority-owned National Geographic Channel, and from three PE groups, it says. These PE groups have been talking to Discovery, to work out an affiliate and ad sales deal; Cox acquired the Travel Channel along with $1.275 billion in cash in exchange for its 25 percent stake in Discovery. Cox is selling a majority stake in the network, holding back 30-35 percent for tax purposes.