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ITV plc is plotting a bid for the UKTV portfolio of digital television channels in a move designed to shore up its stake in the digital TV future.
Although ITV has yet to make a formal bid, it is understood the move is under serious consideration. It would strengthen ITV's presence on the digital platforms whose growth has contributed to ITV1's decline.
UKTV operates as a joint venture between Telewest's content arm, Flextech TV, and the BBC, and is made up of nine digital channels, including UKTV Gold and UKTV History, as well as several time-shifted versions. The sales house IDS, under investigation by Flextech (see page 4), holds the airtime sales contract for UKTV.
A disposal of Telewest's content business, which also includes the wholly owned Flextech channels Bravo and Living, could accelerate its long-awaited merger with the rival cable company ntl. The two companies have recently emerged from major debt restructuring programmes.
ITV has also been refocusing its ...