In August, UTV announced a proposed merger in which SMG shareholders would have received a 50% interest in the merged entity. When this was rejected by SMG, a revised proposal was put forward but this too was rejected.
In a statement, UTV said: "The board has taken into account the interim results of SMG announced on 13 September 2006 and the ongoing weakness in the advertising market faced by the ITV network".
The City Code on Takeovers and Mergers now prohibits UTV announcing an offer or possible offer for SMG within six months of today's date.
Last week UTV posted pre-tax profits of £8.5m for the six months to 30 June, a growth of 5% year on year. In SMG's interim results, also last week, the group reported a 19% pre-tax profit hike.
In a statement, UTV said: "The board has taken into account the interim results of SMG announced on 13 September 2006 and the ongoing weakness in the advertising market faced by the ITV network".
The City Code on Takeovers and Mergers now prohibits UTV announcing an offer or possible offer for SMG within six months of today's date.
Last week UTV posted pre-tax profits of £8.5m for the six months to 30 June, a growth of 5% year on year. In SMG's interim results, also last week, the group reported a 19% pre-tax profit hike.
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