Sharewatch: ITV Dips Following Core Asset Sell Off

The UK’s largest commercial broadcaster ITV saw shares dip by 0.45% yesterday to close at 109žp despite the company’s sale of its 5.5% stake in French multimedia group, Thomson SA.

The sell off sees ITV’s share of Thompson go to Citigroup Global Markets and UBS Limited as part of its £600 million programme to dispose of non-core assets. The 15.5 million shares in Thomson originated from Carlton’s sale of manufacturer and distributor, Technicolor, to Thomson in 2001 (see ITV’s Sell-Off Continues With Stake In Thomson).

Meanwhile, new figures reveal that ITV saw revenue dip by 6% year on year to just over £105 million as the broadcaster struggled in the face of increasingly tough competition from the success of the BBC’s Olympic coverage and a bumper summer for Channel 4 (see NewsLine).

Elsewhere, magazine giant Emap saw a decline in share price, losing 0.25% to close at 799p. The publisher came under fire from the Advertising Standards Agency recently, following a complaint that claims over covermounts by its teen-focussed Bliss magazine could not be substantiated (see Emap Under Fire From Natmags Over Teen Covermounts).

The FTSE 100 failed to build on previous strong performances this week, slipping back below the 4,600 mark with a decline of 0.3% to 4,592.3. The FTSE 250 also faltered, losing 0.1% to close at 6,268.8.

The closing prices of media company shares on Wednesday were: