(Reuters) -ITV said on Friday it was in talks with pay-TV company Sky, owned by Comcast ( CMCSA ), over a potential sale of the British broadcaster's media and entertainment (M&E) unit for 1.6 billion pounds ($2.15 billion) including debt.

ITV's M&E division, which includes its free-to-air channels and its ITVX streaming platform, is dependent on advertising.

The broadcaster has also built up a Studios production business, which makes shows for its own channels and other broadcaster and streamers worldwide.

ITV's M&E unit made revenue of 955 million pounds ($1.28 billion) and adjusted earnings interest, tax and amortisation of 35 million pounds in the six months to end-June, the company reported in July.

($1 = 0.7451 pounds)