21st Nov 2006 13:30
Office of Communications21 November 2006 FOR IMMEDIATE RELEASE Ofcom statement on British Sky Broadcasting Group plc shareholding in ITV plc 21 November 2006 Ofcom has invited ITV plc (ITV) and British Sky Broadcasting Group plc (BSkyB)to comment on whether BSkyB's acquisition of shares in ITV represents a changeof control of one or more of the licences held by ITV plc. If Ofcom were to conclude that a change of control had taken place, Ofcom wouldthen need to review the effects - or likely effects - of such a change ofcontrol on ITV's licensed services; for example, original productions, news andcurrent affairs programmes and regional programming. As the sectoral regulator responsible for broadcasting, Ofcom carries out changeof control reviews as one of its duties under the Communications Act 2003. Ofcom has published guidance on how it will consider a change of control. Achange of control can occur depending on a number of factors. These include: thelevel of shareholding acquired; voting rights; the company's constitution andmanagement controls; and funding arrangements. Ofcom will be seeking submissionsfrom ITV and BSkyB in order to consider the position. Ofcom will normally aim todecide whether there has been a change of control within six weeks. The Office of Fair Trading (OFT) is responsible for considering whether there ismerger for competition purposes. As the sector regulator, Ofcom liaises with theOFT on its assessment of any merger in the communications sector. In addition, if there is a merger, the Secretary of State for Trade and Industrymay choose to ask Ofcom to consider whether there are any broadcasting andcross-media public interest considerations, including issues of plurality ofownership. Were such a test to be requested by the Secretary of State, Ofcomwould conduct the relevant enquiries and would then advise the Secretary ofState of any considerations for him to take into account in his deliberations. Ofcom will provide further updates in due course as and when these areavailable. However, in the meantime we cannot comment further. Further details on Ofcom current guidance on the definition of control of mediacompanies can be found online at: http://www.ofcom.org.uk/consult/condocs/media2/statement/ Ends. NOTES FOR EDITORS AND CSEs Ofcom is the independent regulator and competition authority for the UKcommunications industries, with responsibilities across television, radio,telecommunications and wireless communications services. For further details please visit www.ofcom.org.uk. CONTACT Ofcom Media Office [email protected] (+44) (0)20 7981 3033 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
ITVSky