On September 10 2016, the CEO of Entertainment One, Darren Throop, said there’s no sales process under way after ITV approached the company with an offer to buy them out.
Throop was interviewed by Bloomberg TV Canada and he said as of now they were not in process. He added that everyone from their board to their shareholders and management team are staying focused on what they were focused on before ITV came along with their offer. He said the focus was and still is to build the largest independent media company.
After Throop commented on the offer, shares in his company rose by up to 5.4 percent in London. Last year, the company’s shares have increased by 30 percent.
Last August, ITV withdrew its offer for Entertainment One after the offer was deemed to be too low. The company offered $1.3 billion to buy Entertainment One. Activist hedge fund Livermore Partners called upon the company to sell itself after ITV withdrew its offer. However, Throop said he would prefer the company to remain independent.
Throop said he is interested in building his company and he enjoys being independent. He said he wasn’t really interested in selling Entertainment One and that being independent was great. Throop currently owns around 2.3 percent of the company.
However, he did say he does have to weigh future offers because he has a fiduciary duty to do so. He said Entertainment One is a public company and this means they have to represent their shareholders’ interests.
ITV wasn’t the only company interested in buying Entertainment One. People who are familiar with the matter said KKR & Co. were also interested in purchasing it. KKR & Co. is a private equity firm.
There’s no shortage of interest in those wanting to acquire Entertainment One, but Throop has insisted that he will remain focus on building it instead of selling it. He finished his interview by saying he has received many calls and those calls will continue to come in because the platform they offer is unlike anything else that is currently offered on the market.