SMG and UTV merger possible

AN element of large shareholders in Scottish Media Group (SMG) has urged the company’s bosses to consider a nil-premium merger with Ulster Television (UTV).

A nil-premium merger means the shareholders of the companies that are merging receive shares in the merged entity in return for their existing shares, but no money changes hands.

UTV confirmed last week that it had approached SMG with a merger proposal that could end up building a £400 million (€591m) broadcaster.