ITV’s (LON:ITV) share price has climbed higher in London this morning as the company signed an agreement with the BBC to launch their joint streaming service BritBox in the fourth quarter of the year. The news follows reports in May that negotiations over the service between the two broadcasters had grown tense.
As of 09:39 BST, ITV’s share price had added 1.55 percent to 111.10p. The shares are outperforming the broader UK market, with benchmark FTSE 100 index currently standing 0.65 percent higher at 7,541.76 points.
BritBox to launch this year
ITV and the BBC announced today that they had signed an agreement to launch BritBox in the UK in the fourth quarter of this year. The new streaming service will be priced at £5.99 per month in HD and across multiple screens and devices, and will include what the companies referred to as “the nation’s favourite programmes” along with original series made for BritBox.
“The agreement to launch BritBox is a milestone moment. Subscription video on demand is increasingly popular with consumers who love being able to watch what they want when they want to watch it,” ITV’s CEO Carolyn McCall commented in a statement, adding that consumers “are also happy to pay for this ease of access to quality content and so BritBox is tapping into this, and a new revenue stream for UK public service broadcasters”.
She further noted that the companies were “already working together on BritBox in the US and Canada and this is proving to be very successful, exceeding its targets”.
Analysts ratings update
According to MarketBeat, the blue-chip broadcaster currently has a consensus ‘hold’ rating, while the average target on the ITV share price stands at 143.25p.
Liberum lifted its rating on ITV from ‘hold’ to ‘buy’ yesterday, while leaving its target on the share price unchanged at 145p.