U.K. — Sky has agreed to terms to acquire ITV's media and entertainment division, including its network arm, for a proposed value of £1.6 billion. The acquisition includes ITV's free-to-air television channels in the U.K. and the ITVX streaming platform.

As part of the potential transaction, Sky, which is owned by Comcast, has committed to spending £2 billion on ITV Studios over the next five years. The deal could be announced in early July and includes a payout of approximately £200 million, dependent on the ITV unit's performance.

ITV Studios will not be part of this acquisition; it will remain a standalone company listed on the London Stock Exchange. ITV Studios is expected to acquire Love Productions from Sky, with the transaction potentially valued between £80 million and £120 million, based on comparable deals and an earn-out. Love Productions produces "The Great British Bake Off."

The proposed deal requires regulatory approvals from both the U.K. Competition and Markets Authority and the U.K. media regulator Ofcom. The final decision rests with Lisa Nandy, the British government's culture secretary.

Ofcom is expected to examine potential concerns regarding Sky's owner acquiring ITV's 40% stake in ITN. ITN produces ITV News, Channel 4 News, and 5 News. Combining the TV advertising sales operations of ITV and Sky could give Comcast control of more than 70% of the U.K. market. Sky currently handles advertising sales for Channel 5 and Disney in the U.K.

Following reports of the deal, ITV shares increased by 2.9% on Thursday. The market value of the broader ITV group is £3.1 billion. ITV was established in 1955. In 2024, ITVX reported 14.7 million monthly active users, which increased to 16.5 million monthly active users in 2025. In 2025, ITV Studios accounted for more than half of ITV's £4.1 billion annual revenues. Sky and ITV declined to comment on the matter.