UTV Media shares soar in response to ITV acquisition talks
The Northern Irish broadcaster, which also owns TalkSport, has confirmed that it is in ‘ongoing’ discussions regarding the sale of its television assets to ITV.
UTV Media has confirmed it is in talks with ITV over the sale of its TV assets.
The Belfast broadcaster, which owns the ITV franchise for Northern Ireland as well as Talksport, saw its share price soar by 10 per cent in early trading in response to speculation that it was in talks with ITV.
UTV Media then released a statement confirming that it was “in discussions regarding a potential sale of its television assets” while adding that “discussions are ongoing and may or may not result in such a transaction being agreed”.
The company, which has a market capitalisation of £150m, saw its shares rise from 15p to 172p; news that will be well received ahead of its interim financial results which will be released later this week.
The potential acquisition comes during a busy time for the company which is in the process of trying to sell its 12 local radio stations in the England. In June this year it sold its Liverpool radio station Juice FM for £10m.
It is also in preparing to launch a number of new digital radio stations as part of a consortium with Bauer Media and Arqiva which will include reviving the Virgin Radio brand in partnership with Richard Branson’s Virgin Group.
A spokeswoman for ITV said that ITV does not comment on speculation. ITV’s pursuit of UTV Media’s TV assets will likely heighten speculation that it may also be interested in acquiring STV, the holder of the ITV franchises for Scotland.