The Television Corporation has agreed the financial terms for its acquisition of Mentorn Group, writes Dominic Timms.

The deal is understood to value the company at£8-25 million depending on whether the

The Television Corporation has agreed the financial terms for its acquisition of Mentorn Group, writes Dominic Timms.

The deal is understood to value the company at£8-25 million depending on whether the group hits profit targets over the next three years.

Mentorn, which made a loss of£450,000 on turnover of£22.7 million in 1998, has yet to sign off this year's figures. TV Corp chief executive Chris Rowlands declined to comment on Mentorn's likely value.

TV Corp will acquire an initial 50 per cent stake for£2.25 million. It has an option to buy the remaining 50 per cent in three tranches, the value of which will relate to profits.

Mentorn Group chief executive Tom Gutteridge is expected to join the TV Corp board following the purchase of the remaining 50 per cent.