ITV rules out bid for Channel 5 as studio booms
ITV YESTERDAY insisted it had no plans to bid for rival Channel 5, but said it was on the lookout for other acquisitions to add to its booming Studio business.
Speaking as the broadcaster posted a 30 per cent rise in pre-tax profits to £435m for 2013, chief executive Adam Crozier said ITV would not be entering a bid for Richard Desmond’s network ahead of a deadline tomorrow.
“We’re being very clear that if appropriate (acquisitions) come up and we think they add something to ITV Studios … then we will look at those key opportunities,” he added.
The group’s production arm ITV Studios, which makes and sells shows including Come Dine With Me and Mr Selfridge, saw a 20 per cent rise in revenue last year to £857m last year.
But shares closed 2.2 per cent lower, despite Crozier announcing a £161m special dividend of 4p a share, in line with 2012.
Analyst Ian Whittaker at Liberum Capital said he had expected a special dividend of at least £200m and the market consensus for the ordinary-share dividend was 4.1p.
The company reported a nine per cent rise in external revenue to £2.39bn in the year to 31 December.