Liberty Global buys 6.4% of ITV for GBP 481 mln

News Video United Kingdom 17 JUL 2014
Liberty Global buys 6.4% of ITV for GBP 481 mln

International cable company Liberty Global has acquired 259.8 million shares in UK terrestrial broadcaster ITV from British Sky Broadcasting (BSkyB) for approximately GBP 481 million. The investment gives Liberty an around 6.4 percent stake in ITV. 

Liberty will fund the purchase through existing liquidity and a loan linked to a hedging transaction secured by ITV shares. No regulatory approval is required with this level of investment. 

The company said it does not intend to make an offer to acquire ITV, but reserves the right to announce an offer or participate in an offer for ITV within the next six months. CEO Mike Fries described the move as an opportunistic and attractive investment in Liberty Global's largest cable market. 

Liberty Global acquired the UK's largest cable operator Virgin Media last year. BSkyB bought a 17.9 percent stake in ITV in 2006 for GBP 940 million, effectively blocking Virgin Media from buying ITV. Sky was later ordered to reduce its stake n ITV due to competition concerns. 

Categories:

Video

Companies:

British Sky Broadcasting,  BSkyB,  ITV,  Liberty Global,  Virgin Media

Countries:

United Kingdom

Tags:

Cable - Docsis, DVB-x, M&A buyouts & divestments

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