Bertelsmann, the German media company, has begun preliminary talks with investment banks as it continues preparations for a possible initial public offering in three years time.

Bertelsmann has begun preparations for an IPO, including changing its annual reporting system and adopting the International Accounting Standard, despite doubts over what Groupe Bruxelles Lambert will do with its 25.1% stake. A question mark still looms over whether Albert Frère, whose Groupe Bruxelles Lambert has the right to float its stake, will actually choose to do so. The holding on Groupe Bruxelles Lambert's books in the first quarter this year was valued at €2.2bn ($2.19bn).