ITV Withdraws Bid to Acquire eOne


LONDON: ITV has withdrawn its proposal to acquire Entertainment One (eOne), after its initial bid was rejected earlier this month.

ITV had initially offered 236 pence per eOne share in cash, valuing the company at around £1 billion ($1.3 billion). The board of eOne voted unanimously to reject the offer, saying that it “fundamentally undervalues the company and its prospects.” ITV has now formally removed its proposal.

“ITV continues to believe in the strategic logic and potential benefits of acquiring eOne but has a clear view of the value of the business, recognizing that this value would need to be verified by appropriate due diligence,” the company said in a statement. “It appears this value is different to the level at which the board of eOne would currently engage in a more formal process.”

“ITV has a clear strategy to build a stronger, more diversified international business and will continue its disciplined approach to evaluating its healthy pipeline of potential investment opportunities.”