Takeover hopes boost ITV share prices

As more speculation of a takeover of ITV comes around, the broadcasters shares rose to a record high this week. On reports that Virgin Media owner Liberty Global have been sounding out ITV shareholders about its options, shares of ITV rose 3.6% to 218.7p.

Liberty Global bought a 6.4% share in the DTG Member in July and ruled out bidding for any more of a stake in ITV for at least six months, however some analysts think the company will move sooner than this to head off the threat of a bidding battle.

Financial advisors Merrill Lynch said "We believe the next logical step would be for Liberty to secure a blocking stake of circa 20 per cent which would allow it to determine the future of ITV."

This speculation of a takeover comes amid growing pressure for a change of law that would make UK pay-TV operators pay fees for retransmitting terrestrial channels; a US-style of fees which would result in a double-digit upgrade to ITV's earnings.

We're certainly going to keep an eye on the progression of any ITV takeover.

DTG Staff  |  02.09.2014

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