Additional Information


Content

Five owner RTL rules out any bid for merged ITV

LONDON - RTL, the pan-European broadcaster and major shareholder of UK terrestrial TV station Five, has ruled itself out as a possible bidder for ITV.

Share this article

Recent reports have suggested that RTL may be a contender to bid for ITV once its main shareholders Granada and Carlton Communications merge.

RTL chief executive Gerhard Zeiler said in the Mail on Sunday that the company will concentrate on Five, in which it owns a 65% stake. The remainder is owned by United Business Media.

"We think we can create much more in developing Five than in buying into ITV. We are focused on and very happy with Five," Zeiler said.

Carlton and Granada announced their plans to merge in October. The deal is currently being scrutinised by the Competition Commission to determine whether the combination will be anti-competitive.

One concern among the industry is that the two companies will be allowed to merge their advertising sales houses and dominate UK airtime sales with more than 50% of the market.

There also concerns about the management structure of the merged ITV company. Shareholders have been objecting to the management packages of senior executives at Carlton and Granada, particularly their respective chief executives Michael Green and Charles Allen. Shareholders believe they may cash in their generous remuneration deals once the merger goes through.

It is said that shareholders in the two companies may have been hoping that if RTL or another company took over the merged broadcaster, they would bring in new management.

If you have an opinion on this or any other issue raised on Brand Republic, join the debate in the Forum here.

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus

Additional Information

Latest jobs Jobs web feed

Back to top ^