Luxembourg-based RTL Group has withdrawn from the German pay-TV sector, exercising an option to sell its remaining 5% stake in pay-TV channel Premiere to majority shareholder KirchGroup.

RTL's sale price of the Euro 124m holding follows its disposal of a 45% interest in the loss-making pay-TV operation to Kirch for Euro 800m in March 1999. That pact between the RTL Group and the KirchGroup contained an option for this latest sale.

RTL Group chief executive officer Didier Bellens said that the disposal 'completes our withdrawal from the German pay TV market'. He added: 'This is consistent with our stated strategy to focus on our core competence and strength as Europe's leading free-to-air broadcaster and content production group.'