The two largest French media groups LAGADERE and CANAL+ have formed an alliance on CANALSATELLITE. The first stage provides for LAGADERE taking a 34% stake in satellite division of CANAL+, a minority block that should cost the group FF 6 bn. France's foremost digital station, CANALSATELLITE has some 1.4 million subscribers for a turnover of some FF 3.2 bn in 1999.