A takeover of ITV, already a long shot after the company rebuffed cable firm NTL’s £4.7 billion bid , looks even less likely now.
Mr Grade has been expressly charged with finding a new chief executive and has been given up to three years to do it and a notice period until the end of 2008.
He is also indicating that he is opposed to a takeover by stating that his first priority is improving programming as “the best way to enhance the value of the company for our shareholders”.
The board’s decision to suspend the share buyback programme, with £251 million so far spent, half the total planned, signifies that Mr Grade will review the best way to spend the remaining cash and may well decide to put it into programming.
His strategy is likely to allow ITV investors less jam today in the hope of more at some time in the future.
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