Sky has agreed to acquire ITV’s media and entertainment business in a £1.6 billion deal, marking one of the most significant transactions in British broadcasting history.
Under the terms of the deal, ITV will receive £1.2 billion in cash, with a further £200 million payable depending on advertising performance in the 2027 financial year.
The transaction includes ITV’s traditional television channels and the ITVX streaming platform, alongside some of the UK’s best-known television brands, including Coronation Street, Emmerdale, Love Island and I’m a Celebrity… Get Me Out Of Here!.
ITV said the deal represents a “defining moment for British media” and would help create a stronger domestic broadcaster with the scale to compete more effectively against global streaming platforms.
Andrew Cosslett, chairman of ITV, said the transaction would help secure ITV’s role as a public service broadcaster at a time of rapid change across the industry.
“For over seven decades, ITV has played an important and cherished role in the public life of the nation,” he said.
ITV plans to return £950 million to shareholders following completion of the deal, equivalent to 25p per share and representing around 90% of the upfront cash proceeds.
The sale will reshape one of Britain’s main public-service broadcasters, separating ITV’s media and entertainment operations from its production interests at a time of major consolidation across the global entertainment industry.
Sky, which is owned by US media group Comcast, is itself facing structural change. Comcast recently announced plans to separate NBCUniversal and Sky into a newly listed company within a year.
Dana Strong, chief executive of Sky, said ITV would remain a public service broadcaster “at the heart of British life”.
“This is a defining moment for British media and an opportunity to build a stronger future for two of the UK’s most loved and trusted brands,” she said.
She added that combining Sky and ITV Media & Entertainment would bring together free-to-air television, pay TV and streaming, helping UK viewers continue to access British programming in an increasingly competitive global market.
The deal comes as the global media sector continues to consolidate, with broadcasters and streaming platforms seeking greater scale to compete for audiences, content rights and advertising revenues.
