The price represents a 26.6% premium to iTouch's closing share price on April 27 and delivers a return of over 300% on INM's original cash investment in the company.

INM said it would use the proceeds from the sale of the non-core asset for general corporate purposes and to enhance its publishing brands. It added that the disposal follows the recent announcement of its expansion into the fast-growing Indian newspaper market and record 2004 results.

'We are happy that a small idea, started in South Africa, has worked to the benefit of the whole group in such spectacular fashion,' commented INM's Chief Executive Tony O'Reilly.

'Having first identified and invested in this fledgling start-up back in 1997 and having listed on the London Stock Exchange in August 2000, the receipt of €100m in cash will represent a remarkable and most rewarding journey for all of our shareholders,' he added.

For-side has today confirmed that it either holds shares, or has received irrevocable 

undertakings to accept the Offer, in respect of approximately 53.5% of the issued 

share capital of iTouch plc.

Shares in Independent News and Media were up three cent to €2.38 

in Dublin early this morning.