ITV Digital Prepared For Sale As One Week Of Talks Remains

ITV Digital Prepared For Sale As One Week Of Talks Remains

The fate of ITV Digital looks set to be decided following a High Court meeting this morning at which the company’s administrator – Deloitte & Touche – confirmed that it is preparing the business for sale.

Following weeks of negotiation with the Football League – still ongoing – it had been thought that ITV Digital’s owners, Carlton and Granada, would extent the administration period slightly in order to secure more funding and to allow more time for an agreement to be reached with the League. However, the two ITV companies have decided that they will not fund a continuation of the administration.

A final week of talks Talks with the League will now continue for this week only in the hope that an agreement can be reached over the money owed by ITV Digital for the broadcasting rights to League matches. If the Football League rejects the proposals, Deloitte & Touche says that it will “be left with no choice but to implement a sale of the business and assets.”

Negative news-flow Deloitte says that the negative news surrounding ITV Digital’s plight and the resulting disclosure of confidential information in the press has hampered the administrator’s ability to restructure the business.

It warns that the ‘on-going recriminations [may] have undermined our ability to achieve the Business Plan’. If this is decided to be the case, ITV Digital will also be wound up.

By late morning, shares in Carlton were down 4źp at 239žp, whilst Granada stock was down 3źp at 120źp.

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