ITV rules itself out of race for Endemol Shine; shares rally

3rd Oct 2018 10:49

(Sharecast News) - ITV has announced it is not bidding for Endemol Shine, ending speculation that the broadcaster was preparing a £3bn swoop.Endemol, which was created in 1994, was reported as being up for sale in July. Although one of the biggest names in television, responsible for hit shows such as MasterChef, Big Brother and Peaky Blinders, acquisition costs mean the business remains heavily indebted. Last year it made an operating loss of €21m.Several potential bidders were understood to have shown interest before walking away. ITV, however, was reported to remain interested.But on Wednesday, the blue-chip broadcaster told the London market: "In light of continued press speculation, ITV confirms that it has no current intention of making a bid for Endemol Shine Group."Shares in ITV, which had previously slipped on reports it was considering a bid, rose 5p to 161p in mid-morning trading on Wednesday.In July, newly installed chief executive Carolyn McCall - who joined in January from easyJet - said she was considering "selective, value-adding mergers and acquisitions" as the company moved towards doing "more than TV".But she added that the company would be "incredibly disciplined" when it came to deals and would not pursue "scale for scale's sake".