ITV acquires controlling stake in reality programme producer

19th Feb 2014 09:09

ITV has acquired a controlling stake in DiGa Vision, a New York-based independent producer of reality and scripted programming. The broadcaster will make an upfront cash payment for a 51% stake in DiGa Vision, with a put and call option to buy the remainder of the company, which can be exercised from between three and six years, with the total amount paid linked to the performance of the company over that period. The group said the multiple paid is "similar" to the range paid on its previous acquisitions. "The acquisition represents another step forward in ITV's strategy of building a strong international content business and is an important addition to the group's growing portfolio of production companies on both sides of the Atlantic," the FTSE 100 constituent said. "It follows ITV's acquisition in the last 18 months of Gurney Productions, High Noon Entertainment and Thinkfactory Media in the US as well as UK producers The Garden and Big Talk." The stock was down 0.85% at 208.80p by 09:12 Wednesday.NR