Reports this morning claim ITV has received an approach from a consortium of investors willing to put £1.5 billion into the firm, effectively gaining control of the broadcaster.
A report in this morning’s
Telegraph claims the approach by Goldman Sachs Capital Partners and Apax Partners would see ITV “gear itself up,” returning around three quarters of its current market value to investors, with as much as 86p per share, or £3.55 billion being earned.
Existing shareholders would reportedly be allowed to co-invest alongside Goldman Sachs and Apax, with ITV remaining a public limited company.
The fresh rumours of an effective ITV take-over also revive murmurs of involvement by former BBC director general Greg Dyke, who was linked to an approach to ITV by Apax last year.
Dyke is currently an adviser to Apax, with several reports in recent years suggesting he was being groomed for the top spot at ITV, following a financial approach by the investment firm.
ITV recently reported an increase operating profit of 42% in 2005, reaching £460 million, with revenue for the broadcaster up by 6% year on year at £2.2 million (see ITV Increases Operating Profit By 42% In 2005).
This strong growth has resulted in ITV expecting to achieve its target of £150 million revenue a year early, aiming to reach £250 million in multichannel advertising revenue by 2008.
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