LONDON (AP) — British Culture Secretary Lisa Nandy asked regulators Wednesday to scrutinize the proposed 1.6 billion-pound ($2.3 billion) takeover of ITV’s media and entertainment arm by Sky, the U.K.-based TV, internet and mobile phone provider owned by U.S. company Comcast.
Nandy announced her decision to issue a so-called Public Interest Intervention Notice, paving the way for the Competition and Markets Authority, or CMA, and media regulator Ofcom
to probe the takeover.
The pair will report back to her on the impact of the deal on the media landscape in the U.K. and its impact on free speech by Jan. 27. Following their reports, she may then decide to refer the deal to the CMA for a further in-depth investigation.
Nandy also said she will bring forward new streaming legislation in view of her “specific concerns” over the tie-up.
ITV, the U.K.'s largest commercial broadcaster, struck a deal in July to sell its media and entertainment division to Sky, in a move that would create a major competitor to the global streaming giants. The proposed deal includes ITV's terrestrial television channels and streaming service. ITV’s production arm, ITV Studios, known for shows such as the “I’m A Celebrity’’ series, will remain an independent company.
Sky said it believes the tie-up "is in the public interest, with clear commitments already made to protect ITV’s identity, public service broadcasting obligations and the distinct editorial voices of Sky News and ITV News.”
And ITV said it looks forward to “co-operating fully” with the investigation.
The combined Sky-ITV entity, if approved, is set to become part of NBCUniversal following the completion of its split from Comcast.
