Shares in both companies had soared in value this week, as speculation on the future of the two ITV companies once again had the markets in a state of excitement. Yesterday, Carlton's shares were up almost 30p on last Friday's close, but had already lost 8% this morning to fall to 209.75p.
Over Monday and Tuesday, Granada had seen its shares leap in value by 11.5p. Always seen as the stronger of the two, Granada was noticeably less affected. It share price rose fractionally by 0.66% to 114.25p.
Discussions on a potential merger started after the government mooted that changes in media ownership legislation could lead to a single ITV company being created. Investors have also been pushing the two companies to sort out the future of their loss-making digital company ITV Digital.
In a statement the two companies said: "Carlton and Granada have been in discussions regarding a possible combination of their business, in step with proposed legislative changes. The two boards have decided not to pursue these discussions."
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