England

ITV selling iconic London Television Centre on the South Bank to Mitsubishi Estate for £145.6mln in cash

ITV PLC (LON:ITV) is selling the iconic London Television Centre on the South Bank to Mitsubishi Estate London Limited in an all-cash transaction for £145.6mln.

In a brief statement, the FTSE 100-listed broadcasting group said completion of the sale is expected to occur by the end of November.

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Part of proceeds of the sale of the South Bank site, net of tax and fees, will be used to replace the asset security, and the remaining sale proceeds used to reduce ITV's net debt, it added.

In 2014, ITV established a Pension Funding Partnership with the Trustees backed by The London Television Centre which resulted in the assets of Section A of the defined benefit pension scheme being increased by £50mln.

ITV is due to issues a third-quarter trading update next Tuesday which is likely to be eyed closely for any signs the challenges that faced the group during its first half have continued into the second half and the extent to which any weakness has been offset by its dominance of the UK TV advertising market.

The blue-chip broadcaster's management is guiding for broadly flat advertising revenues for the quarter, anywhere between +1% to -1%, compared to a 5% decline in the first half.

Outlook for the all-important fourth quarter, which includes the Christmas period, will also be watched closely in addition to any early indicators of consumer uptake for ITVs BritBox streaming platforRead More – Source

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