ITV to buy 'Educating Yorkshire' producer Twofour

24th Jun 2015 12:19

ITV said on Wednesday that it has agreed to acquire Boom Supervisory, the holding company of Twofour Group, for an initial cash consideration of £55m for 75% of the group.ITV said that it could pay as much as £280m for the group, which produced over 1,200 hours of programming in 2014. Its production labels are based in the UK and US and the group has produced shows including Educating Yorkshire, The Jump, Posh Pawn, The Hotel Inspector and Animal Odd Couples.The broadcaster said there is a put and call option for the remaining 25% that can be exercised at the end of 2017 and between the end of 2019 and 2021, with any further payment subject to minimum average earnings before interest, tax and amortisation thresholds.The acquisition is part of ITV's strategy to strengthen its global content business and will be earnings-enhancing from day one, the company said. In addition, it will support ITV Studios' growth internationally by increasing its exposure to factual entertainment formats and drama and bringing new creative talent to the company.In 2014, Twofour delivered £5m in earnings before interest, tax, depreciation and amortisation.Kevin Lygo, ,managing director of ITV Studios said: "Great creative talent, fantastic content and brilliant production expertise are central to ITV Studios' strategy, so I'm delighted that the Twofour Group is joining our family of production companies as we continue to boost ITV Studios' growth in the UK and internationally."At 12:26, ITV shares were down 0.2% at 272.73p.