The merger between ITV giants Granada and Carlton looks like it will definitely go ahead under the terms discussed last week in which Granada shareholders will own two thirds of the new business, Granada boss Charles Allen will become chief executive and Carlton founder Michael Green chairman. The £2.6 billion deal will essentially see the creation of one ITV company in England and Wales
"One ITV has been a vision long in the making," Green has told reporters. "One company, with one management and one focus can now set its sights firmly on beating the opposition and giving viewers and advertisers what they want".
Many reckon the two companies' financial problems – caused by an advertising slump and the huge losses made on the failed ITV Digital venture – have encouraged the two companies to finally come together (past merger talks have failed). The deal will need government backing – the advertising industry and Channel 4 will both need reassuring it is the best way forward for commercial broadcasting at large.