ITV buys first production company in new strategy

ITV said it would pay an initial 26 million pounds ($53.62 million) in cash for the company, with a further possible nine million pounds to be paid in 2011, part of which is contingent on profit performance.

12 Yard is a leading format creator in Britain, producing game shows such as ‘Eggheads’, ‘Who Dares Wins’ and the international Emmy winning ‘Without Prejudice’.

Its programme formats have also enjoyed strong success in major international territories including the United States, Australia and Germany and ITV said the acquisition would give it immediate access to the profitable gameshow format market.

Britain’s biggest commercial broadcaster, ITV pledged in September to implement a ‘content-led growth plan, built on ITV’s creation and ownership of the UK’s most valuable programmes.’

It said then that it would accelerate growth through acquisition of production businesses, with up to 200 million pounds available from the disposal of certain non-core assets.

‘We are delighted that 12 Yard is ITV’s first acquisition since the announcement of our growth strategy, and I look forward to making further announcements in due course,’ ITV’s managing director of global content, Dawn Airey, said in a statement.