Mediaset says Vivendi ended interim management over pay: TV unit

"The main consequence of today's formal letter is the implicit recognition of the validity of the existing contract," Mediaset said.

Vivendi has backed out of an April deal to buy Mediaset's pay-TV arm and the two groups have been battling since over the validity of the original accord.

Mediaset said Vivendi's letter, dated Oct. 18, sought to avoid further damages after the standoff between the two companies had prevented Mediaset Premium from preparing its subscription and football campaigns.

The Italian broadcaster said the matter had led to a damaging paralysis.

(This version of the story corrects day to Thursday in first paragraph)

(Reporting by Valentina Za; Editing by Alexandra Hudson)