Acquisition of Shares in ITV PLC
British Sky Broadcasting Group plc ('BSkyB') announces that it has acquired a stake in ITV plc ('ITV'). BSkyB has today acquired 696 million shares, representing 17.9 per cent of the issued share capital of ITV, at a price of 135 pence per share. The total consideration amounts to approximately GBP 940 million, which will be funded from the group's existing cash balances and its currently undrawn revolving credit facility.
BSkyB wishes to explore options to create value in the interests of both BSkyB's and ITV's shareholders. BSkyB believes that ITV is one of Europe's premier broadcasting and production businesses, and holds substantial potential for long-term value creation. This acquisition of shares has taken place without the prior knowledge of the ITV board of directors, but BSkyB has today communicated to ITV's board its intention to be a supportive shareholder.
BSkyB has no intention of acquiring shares that would result in BSkyB's stake exceeding 19.9 per cent or making an offer for the whole of ITV's remaining share capital.
BSkyB notes that under Section 350(3) and Schedule 14 of the Communications Act 2003, BSkyB is prohibited from controlling an interest of more than 20 per cent in ITV plc.
A conference call for analysts and investors will be held at 18:00 p.m. (GMT) today. The dial-in number is +44 20 7162 0025.
Enquiries:
British Sky Broadcasting Group plc
Analysts/investors:
Andrew Griffith
020 7705 3118
Robert Kingston
020 7705 3726
Press:
Matthew Anderson
020 7705 3267
Finsbury:
Roland Rudd
020 7251 3801
Alice Macandrew
020 7251 3801
Morgan Stanley & Co. Limited (Financial Adviser):
Scott Matlock
020 7425 5000
Henry Stewart
020 7425 5000
Hugo Baring
020 7425 5000
Morgan Stanley and Co International Limited (Joint Corporate Broker to BSkyB):
Nick Wiles
020 7425 8000
Tim Pratelli
020 7425 8000
Merrill Lynch International (Joint Corporate Broker to BSkyB):
Mark Astaire
020 7628 1000
Patrick Bowes
020 7628 1000
Morgan Stanley & Co. Limited is acting exclusively for British Sky BroadcastingGroup plc and no one else in connection with the matters described in thisannouncement and will not be responsible to any other person for providing theprotections afforded to clients of Morgan Stanley & Co. Limited nor forproviding advice in relation to the matters described in this announcement.
This information is provided by RNS
The company news service from the London Stock Exchange