ITV Plc has exited from its remaining 6.79% stake in Scottish broadcaster STV, putting an end to a shareholder relationship that started in the 1990s. The said transaction is valued at £7.5 million, according to The Guardian.
The London-based broadcasting firm is STV's fourth-largest shareholder. ITV owns two ITV network franchises. The STV stake was taken from former ITV firm Granada. The latter purchased the Scottish broadcaster in 1999 when it was planning a possible takeover, the report said.
ITV sold its 2,650,961 shares on December 9 for £285 apiece. The said trade was only made public on December 10. STV shares plummeted 4% in trading after the news of the exit, the report said.
According to an unnamed STV source, ITV's stake sale was a "demonstration of the appreciation in STV's stock value." The source also said STV had been eyeing an active diversification in its shareholder base and the ITV sale provided a good opportunity for that goal, The Guardian reported.
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