Sky last week confirmed it would appeal that previously reported Competition Commission ruling that ordered it to sell over half of its stake in ITV. As much previously reported, the Commission investigated Sky's acquisition of 17.9% of ITV after concerns it gave them too much influence over their competitors in the TV industry. The Commission ordered them to reduce their holding in ITV to 7.5%. But the Rupert Murdoch owned broadcaster says it will challenge that ruling, arguing the Commission made several mistakes in its review of the share purchase and that its remedy is too severe. Sky's Jeremy Darroch told reporters that the Commission had "built its case on a series of implausible hypotheses and has recommended an arbitrary remedy for a non-existent problem", adding: "The reality is that competition in this marketplace is as vigorous as ever. A merger has not taken place, Sky and ITV are distinct entities with independent strategies and Sky could not block a shareholder resolution without voting rights".
Feb 25, 2008
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1 min read
Sky to appeal Commission ruling over ITV stake
Sky will appeal the Competition Commission ruling that it must cut its ITV stake from 17.9% to 7.5%, arguing the remedy is too severe.