Catenaa, Tuesday, November 11, 2025- ITV plc confirmed it is in preliminary discussions to sell its Media & Entertainment division to Sky for an enterprise value of £1.6 billion, though no agreement has been reached.
The potential deal would separate ITV’s broadcast operations from its more profitable ITV Studios, which produces original content.
The M&E division and ITV Studios each generated roughly half of the company’s revenues in the first half of 2025, but studios contribute significantly higher profit margins.
Analysts say focusing on studios could strengthen ITV’s growth strategy while a sale at £1.6 billion represents about 55% of ITV’s market capitalization, offering potential value for shareholders.
A sale would mark a notable shift in the UK broadcast landscape. ITV, launched in 1955 as the first commercial competitor to the BBC, remains a primary rival in free-to-air television.
Sky, a pay-TV and digital platform owned by Comcast, has not publicly commented on the potential acquisition.
Experts suggest the move could be part of Sky’s strategy to consolidate its UK streaming presence, complementing its Now TV platform to better compete with subscription video on demand services such as Netflix.
The deal’s terms, scope, and regulatory implications remain uncertain, and ITV emphasized that discussions are preliminary.
If completed, the transaction could reshape the UK’s media and entertainment market, creating a larger UK-focused streaming entity and redefining competition in broadcast television.
The potential sale illustrates the ongoing strategic shift in broadcasting toward streaming and studio content, reflecting industry pressures and evolving consumer viewing habits.
ITV shareholders and market observers will watch closely as discussions progress.
