Dinesh jain
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ITV plc has agreed to acquire 10 per cent of UTV
Ltd, which owns the television assets of UTV
Media plc, for a total cash consideration of £100
million (€136m). This is subject to regulatory and
UTV Media plc shareholder approval. The
transaction will be financed through existing cash
and debt facilities.
The deal further strengthens ITV’s free to air
business and enables it to run a more efficient
network. On completion of the acquisition ITV will
own 13 of the 15 regional licences for the Channel
3 network and the combined business will benefit
from ITV’s continued investment in content, its
advertising sales team and broadcast
infrastructure.
UTV is the market leading commercial broadcaster
and the most watched channel in Northern Ireland,
broadcasting ITV content alongside high quality
local programming. UTV Ltd also owns 100 per
cent of UTV Ireland, which launched a new
dedicated channel for the Republic of Ireland on 1
January 2015. UTV Ireland is already the second
most watched channel in peak in Ireland and ITV
intends to strengthen the channel further with high-
quality ITV programming at its core.
“We have a long-standing relationship with UTV,
which has been the leading commercial
broadcaster in Northern Ireland for many years
thanks to its strong regional identity and blend of
excellent local programming and strong network
shows,” said ITV Chief Executive Adam Crozier.
“UTV Television’s strategic objectives are closely
aligned with our own and we are very pleased that
they are joining the ITV family. We are looking
forward to working with the team going forward.”
John McCann, Group Chief Executive of UTV Media
plc, said: “The market leading success of our
television business has been built over many years
on the well-established formula of high quality
local programming packaged around an attractive
network schedule. Becoming part of the ITV Family
is by far the best way to take UTV’s Television
business forward with an ongoing focus to provide
brilliant television to viewers right across Ireland.”
Richard Huntingford, Chairman of UTV said: “The
last few years have seen increasing consolidation
in the global television sector, creating media
companies that span content, broadcast and
platform ownership. Having successfully extended
the reach of our television business with the launch
of UTV Ireland, I believe that Shareholder value can
be maximised through our television interests
becoming part of ITV’s global broadcast and
content business.
“I believe that the price reflects the inherent value
within the UTV Television business. ITV will be a
good owner of the business and, with its scale and
reach, will be able to accelerate the future growth
of the business. I want to thank all the UTV
Television staff for their outstanding service to UTV
over many years, and I wish them every success in
the future.
“As the UTV Pension Scheme will remain with UTV
Limited, this removes any future funding liability
from the Continuing Group, and our Shareholders
will benefit from a significant return of cash. We
plan to continue to pursue our successful strategy
in our radio businesses.”
http://advanced-television.com/2015...eed:+AdvancedTelevision+(Advanced+Television)
Ltd, which owns the television assets of UTV
Media plc, for a total cash consideration of £100
million (€136m). This is subject to regulatory and
UTV Media plc shareholder approval. The
transaction will be financed through existing cash
and debt facilities.
The deal further strengthens ITV’s free to air
business and enables it to run a more efficient
network. On completion of the acquisition ITV will
own 13 of the 15 regional licences for the Channel
3 network and the combined business will benefit
from ITV’s continued investment in content, its
advertising sales team and broadcast
infrastructure.
UTV is the market leading commercial broadcaster
and the most watched channel in Northern Ireland,
broadcasting ITV content alongside high quality
local programming. UTV Ltd also owns 100 per
cent of UTV Ireland, which launched a new
dedicated channel for the Republic of Ireland on 1
January 2015. UTV Ireland is already the second
most watched channel in peak in Ireland and ITV
intends to strengthen the channel further with high-
quality ITV programming at its core.
“We have a long-standing relationship with UTV,
which has been the leading commercial
broadcaster in Northern Ireland for many years
thanks to its strong regional identity and blend of
excellent local programming and strong network
shows,” said ITV Chief Executive Adam Crozier.
“UTV Television’s strategic objectives are closely
aligned with our own and we are very pleased that
they are joining the ITV family. We are looking
forward to working with the team going forward.”
John McCann, Group Chief Executive of UTV Media
plc, said: “The market leading success of our
television business has been built over many years
on the well-established formula of high quality
local programming packaged around an attractive
network schedule. Becoming part of the ITV Family
is by far the best way to take UTV’s Television
business forward with an ongoing focus to provide
brilliant television to viewers right across Ireland.”
Richard Huntingford, Chairman of UTV said: “The
last few years have seen increasing consolidation
in the global television sector, creating media
companies that span content, broadcast and
platform ownership. Having successfully extended
the reach of our television business with the launch
of UTV Ireland, I believe that Shareholder value can
be maximised through our television interests
becoming part of ITV’s global broadcast and
content business.
“I believe that the price reflects the inherent value
within the UTV Television business. ITV will be a
good owner of the business and, with its scale and
reach, will be able to accelerate the future growth
of the business. I want to thank all the UTV
Television staff for their outstanding service to UTV
over many years, and I wish them every success in
the future.
“As the UTV Pension Scheme will remain with UTV
Limited, this removes any future funding liability
from the Continuing Group, and our Shareholders
will benefit from a significant return of cash. We
plan to continue to pursue our successful strategy
in our radio businesses.”
http://advanced-television.com/2015...eed:+AdvancedTelevision+(Advanced+Television)
