Sky to Take Over ITV’s Broadcast Arm in Big £1. 6bn Deal

Sky, the pay‑TV group owned by Comcast, has reached a deal to purchase ITV’s broadcasting and streaming business for about £1. 6 billion, sources familiar with the talks confirmed. The purchase will bring ITV’s network operations under Sky’s umbrella while keeping ITV Studios, the production arm, independent. In return, ITV Studios will acquire Love Productions, known for “The Great British Bake Off, ” in a transaction that could range from £80 million to £120 million, depending on performance bonuses. The agreement has progressed in the last week and is now being finalized by lawyers, according to anonymous witnesses. ITV’s shares climbed 2. 9 % after the news, pushing the company’s valuation to roughly £3. 1 billion. The deal includes a potential £200 million payout tied to ITV’s performance, and sources say the transaction could close within the next fortnight—though legal hurdles might delay it.

Regulatory approval is still pending. The UK’s Competition and Markets Authority, Ofcom, and the culture secretary will all need to sign off. Rival broadcasters Channel 4 and Channel 5 are expected to challenge the deal, citing competition concerns, especially given ITV’s 40 % stake in ITN, which supplies news to all three networks. If approved, the merger would strengthen Sky’s position against streaming giants like Netflix, Amazon Prime Video, Disney+, and YouTube in the UK market. ITV has been pushing its streaming service, ITVX, as viewership and advertising shift away from traditional TV channels.

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