PARIS (Dow Jones)-Canal Plus Group, the French pay-TV company owned by Vivendi SA (VIV.FR), Thursday reported a 5.8% rise in full-year earnings before interest, taxes, depreciation and amortization as it moves closer to the planned initial public offering of Lagardere SCA (MMB.FR)'s 20% stake in its French unit, Canal Plus France.

Ebitda for the full year rose to EUR690 million while revenue rose 3.5% to EUR4.71 billion as more subscribers signed up for pay TV, Vivendi said.

Vivendi currently owns 100% of Canal Plus Group, which in turns holds 80% of Canal Plus France, with the remaining 20% held by media conglomerate Lagardere SCA (MMB.FR).

Lagardere has been aiming for the IPO of its stake to take place in the second quarter of 2011.

Canal Plus France said Thursday it has filed its registration document with the French stock market regulator AMF, moving a step closer towards the IPO.

"We are very happy to begin this IPO process for Canal+ France, which will allow institutional and private investors to become shareholders in the leading pay-TV company in mainland France and to take advantage of its prospects for growth," Canal Plus CEO Bertrand Meheut said in a statement.

In a conference call with reporters, Meheut said Canal Plus France should post annual revenue growth of around 2% to 3% over the next few years after 2010 revenue rose 3.1% to EUR3.96 billion driven by subscriptions growth, increased revenue per subscriber and higher advertising revenue.

The success of the IPO remains subject to market conditions and the AMF's approval of the IPO prospectus, Canal Plus added.

-By Ruth Bender, Dow Jones Newswires; +33 1 4017 1740; ruth.bender@dowjones.com