ITV plc (LSE:ITV) fell sharply in Wednesday morning trading, sliding 8.8% after Liberty Global reduced its holding in the British broadcaster by 50% through an accelerated bookbuild.
Liberty Global’s wholly owned subsidiary, Liberty Global Ventures Limited, sold 193,365,540 ordinary shares to institutional investors, equivalent to about 5% of ITV’s issued share capital.
The transaction generated gross proceeds of roughly £135 million for Liberty Global. Following settlement, its stake in ITV will be cut from around 10% to 5%. The seller also agreed to a 60-day lock-up period, during which it will not sell any additional shares in ITV, subject to standard exceptions.
BNP Paribas and Deutsche Bank (Deutsche Numis) acted as joint global coordinators and bookrunners for the offering.
The sizable divestment by a key shareholder added selling pressure to ITV’s stock price, fueling the day’s sharp drop. Liberty Global’s move to halve its position could also prompt speculation about its long-term strategic interest in the British media company.
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