BSkyB loses latest appeal on ITV stake

21st Jan 2010 10:56

BSkyB has lost its latest appeal over the forced sale of most of its stake in ITV and could now have to cut its holding to below 7.5%.The satellite broadcaster currently owns 17.9% of ITV but was ordered by the Competition Commission to reduce it on the grounds that its sizeable presence on its rival's share register could operate against the public interest.BSkyB bought the stake in 2006 to block an attempt to take over ITV by Virgin Media. The Commission's decision was later upheld by John Denham, the Business Secretary and also by the Competition Appeal Tribunal, in September 2008.BSkyB may still appeal to the Supreme Court for a final decision. In a statement this morning, BSkyB said it "notes the decision by the Court of Appeal in relation to BSkyB's shareholding in ITV. We will review the judgement and order carefully and consider next steps in due course".The group, which is 39% owned by Rupert Murdoch's News Corporation, has nominally lost millions on its investment, which would be crystallised if it was forced to sell.It bought the shares in ITV at 135p each, costing a total of £940m. ITV shares were trading this morning at about 57p.