You are in > manchester.com  > News > NTL no longer interested in ITV

Business

NTL no longer interested in ITV

06/12/2006

Cable firm NTL has revealed that it will not be making a further bid for commercial broadcaster ITV.

A statement this morning effectively ruled out any future takeover by admitting that a deal was not possible on terms acceptable to NTL.

"NTL announces that it has no present intention of making an offer for ITV, as it believes a transaction between ITV and NTL is unlikely to be attained on terms acceptable to NTL," the firm said.

Last month the company bid £4.7 billion for Britain's largest commercial broadcaster, which has also seen satellite rival BSkyB pick up a 17.9 per cent share.

This move by BSkyB is thought to have greatly angered NTL, which has contacted both the Office of Fair Trading (OFT) and Ofcom to raise its concerns.

"The fact that Sky would spend nearly $2 billion (£1.01 billion) to acquire its stake immediately following the mere announcement of NTL's proposed combination, before the ITV board had an opportunity to respond, highlights the magnitude of the competition issues involved," NTL said today.

Under media competition laws Sky is permitted to own up to 20 per cent of shares in ITV and has insisted that it has done nothing wrong.

NTL meanwhile has today said it intends to focus on the continued integration of its Telewest and Virgin Mobile acquisitions, ahead of next year's rebranding to Virgin Media, with the firm offering quad-play services of digital TV, broadband and mobile and home phone services.

© Adfero Ltd