Sky Announces £1.6 Billion Agreement to Acquire ITV

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Posted in: Sky One, TV | Tagged: itv, sky

Sky Announces £1.6 Billion Agreement to Acquire ITV

Move over, Paramount Skydance and Warner Bros. Discovery. Sky announced that it had agreed to terms to acquire ITV for £1.6 billion.

Published Mon, 06 Jul 2026 08:13:08 -0500
by Ray Flook
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Article Summary

  • Sky has agreed to acquire ITV Media & Entertainment for £1.6 billion, with £1.2 billion in cash.
  • The Sky-ITV deal would create a UK media giant with roughly 20% of in-home viewing, behind only the BBC.
  • Sky says the merger could deliver £200 million in annual cost synergies by year three, raising scrutiny concerns.
  • Sky pledged ITV channels and ITVX will stay free-to-air, with public service broadcasting commitments maintained.

Move over, Paramount Skydance and Warner Bros. Discovery. On Monday, Sky announced that it had agreed to terms to acquire ITV Media & Entertainment from ITV for £1.6 billion ("subject to adjustment for cash, debt and net working capital"), with £1.2 billion in cash. To say this would be a big deal that is already hitting some regulatory radars would be an understatement – and it's easy to see why. Currently, ITV reaches approximately 40 million people every week, serving more than 16.5 million monthly digital users. With Sky in the mix, you're looking at a media company that would account for approximately 20% of all in-home viewing in the UK, making it second to the BBC and ahead of YouTube.

Sky notes that approximately £200 million in annual "cost synergies" would be in place by the end of the third year after closing, adding that the majority of those "cost synergies" will stem from "efficiencies in marketing, technology platforms and non-UK content." As we're seeing with Paramount Skydance and Warner Bros. Discovery, expect pushback amid growing concerns about a consolidated media landscape, layoffs, and a reduction in production.

Under the headings, "Better for viewers," "Better for the creative sector," and Better for the UK," Sky laid out a number of advantages to the merger being approved – including:

  • ITV's channels and ITVX will remain free-to-air, with all public service broadcasting commitments continuing in full, including regional news and programming. Viewers will continue to enjoy the shows they know and love, such as Coronation Street, Emmerdale, Love Island, I'm a Celebrity… Get Me Out of Here!, This Morning, Loose Women, Lorraine, and News at Ten – alongside major live sporting events.
  • Sky has agreed to enter into a £2.1bn content supply agreement over 5 years with ITV Studios upon completion of the deal.
  • The combined business will have the resources and technology capabilities to compete more effectively with global media and technology companies in the UK, creating a scaled alternative UK-based platform for advertisers.
Image: Sky

Dana Strong (CBE), Sky Group CEO, noted, "This is a defining moment for British media and an opportunity to build a stronger future for two of the UK's most loved and trusted brands. We have huge respect for the transformation the ITV team has delivered, particularly its successful move into streaming through ITVX, which has brought fantastic British content to millions of viewers across the UK. Bringing Sky and ITV Media & Entertainment together combines the very best of free-to-air television, pay TV and streaming, ensuring viewers across the UK continue to enjoy outstanding British programming in a rapidly changing world. ITV will remain a public service broadcaster at the heart of British life, and we're excited about the future we can build together."

Carolyn McCall (DBE), Chief Executive Officer, ITV plc, added, "ITV has successfully evolved in a rapidly changing media landscape – launching, and scaling, ITVX and developing ITV Studios into a major force in the global content market. This transaction builds on that momentum to deliver clear, tangible value for shareholders.

At the same time, through the commitments made by Sky, the combined ITV M&E / Sky business will continue to deliver everything about ITV that our viewers and advertisers love and value and our people are hugely proud of – making programmes that reflect and shape society, bringing people together for shared experiences and having the quality, diversity and plurality that are the hallmarks of our contribution to the UK's creative industries.

In addition, all of ITV's PSB commitments, including regional and national news, are safeguarded under the terms of the Channel 3 Licences until 2034, which Sky is acquiring as part of the Transaction. I am also confident that Sky will be a strong and responsible custodian of ITV M&E, building on its heritage while investing in its future and safeguarding the qualities that make ITV so valued by viewers, advertisers and the UK's creative industries."

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