SMG in talks to sell TV arm to Granada - report

Scottish Media Group PLC (SMG) has held talks with Granada PLC about the £350m (€545m) sale of its television business, the Sunday Times reported.

Without citing sources, the newspaper said SMG has also discussed selling the division, which owns Scotland's ITV franchises Grampian and Scottish Television, with Carlton Communications PLC.

But, it said Carlton is understood to have dropped out of talks after a disagreement over the price.

The newspaper said Apax, the venture capitalist, is also considering a bid, while other private-equity houses, including Candover, are interested.

It said SMG refused to discuss the negotiations.