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ITV eyeing 50% studio sale UK broadcaster ITV is reportedly weighing the sale of a 50% stake in its production business, while NBC Entertainment chief Ben Silverman is the latest name linked to the CEO role. The commercial broadcaster, which is seeking a new CEO following executive chairman Michael Grade's decision to step down, is considering the ITV Studios sell-off in order to raise cash after failing to win support from shareholders for a rights issue, according to The Sunday Times. According to the report, ITV could raise £500m (US$754m) by selling a 50% stake. The news comes ahead of ITV's annual general meeting this Thursday. ITV declined to comment on the report today, but Numis Securities analyst Paul Richards said he was sceptical. "It's quite an unusual move bearing in mind that they are on the look out for a new CEO," Richards told C21. "That sort of move would be better left until you've got a new chief executive in charge. "One of the key issues that the new CEO will have to resolve is whether to keep the two businesses together in terms of broadcasting and content. If he decided he wanted to have one integrated company then it may be better to own all of ITV productions rather than half of it. Alternatively a separation of the two businesses may make sense." BSkyB, ITV's largest shareholder has been named as one of the parties interested in buying a stake in ITV Studios as a move into the production business, although the firm declined to comment on speculation today. Meanwhile, a potential sale has been welcomed by some in the independent sector. "ITV should sell its production arm to make a load of money and concentrate on being a broadcaster, perhaps having a long term deal with the soaps," said the head of one major ITV supplier, who refused to be named. "If you look at the business, the things that make ITV money is showing programmes. That's the thing they need to improve. What new original shows has ITV Studios created in the last few years?" In other ITV news NBC Entertainment co-chair Ben Silverman is the latest executive to be linked to the CEO role. Silverman, who turns 39 this year, founded Reveille before selling it to Elisabeth Murdoch's Shine Group. He is also a former William Morris executive. Numis' Richards said: "It's fair to say that the US broadcasting industry is pretty advanced compared to the UK, so on that basis, I could see the rationale in bringing in someone from the US who has had experience of how YouTube and Hulu has developed. Likewise ITV could look over at Europe or at people who have been successful at BSkyB or Channel 4." Others names included in the race include former BSkyB chief Tony Ball; Michael Jackson, former CEO of Channel 4; former Virgin Media content chief Malcolm Wall; and internal candidates chief operating officer John Cresswell and commercial chief Rupert Howell. Jules Grant 11 May 2009 © C21 Media 2009 
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