Editing Granada plc

{{Short description|Former British mass media company}}
{{Use dmy dates|date=February 2019}}
{{Infobox company
| name = Granada plc
| type = [[Public company|Public]]
| traded_as = [[London Stock Exchange|LSE]]: GAA
| industry = [[Conglomerate (company)|Conglomerate]] <br />(primarily [[Mass media|media]])
| fate = Merged with [[Carlton Communications|Carlton]] to form [[ITV plc]]
| successor = {{ubl|[[ITV plc]]|[[Moto Hospitality]]}}
| founder = [[Sidney Bernstein, Baron Bernstein|Sidney Bernstein]]
| defunct = {{End date and age|2004|02|02|df=y}}
| key_people = {{ubl|[[Charles Allen (businessman)|Charles Allen]] ([[Chief executive officer|Chief Executive]])}}
| products = {{ubl|[[Granada Breeze]]|[[Plus (British TV channel)|Granada Plus]]|[[Men & Motors|Granada Men and Motors]]|[[Granada Talk TV]]}}
| num_employees = {{ubl|31,000 (2001) prior to demerger of [[Compass Group]]| 4,700 (2002)<ref name="competition">{{Cite news|title=Granada: history, activities and group structure |url=http://www.competition-commission.org.uk/rep_pub/reports/2003/fulltext/482a4.5.pdf |work=Competition Commission |url-status=usurped |archive-url=https://web.archive.org/web/20120118230438/http://www.competition-commission.org.uk/rep_pub/reports/2003/fulltext/482a4.5.pdf |archive-date=18 January 2012 }}</ref>}}
| parent = 
| divisions = {{ubl|[[Granada America]]|[[Granada Australia]]|[[Granada International]]|[[Granada Productions]]|Granada Ventures}}
| subsid = {{ubl|Granada TV Rental|Granada Theatres|Granada Motorway Services|Telerent|[[Granada Television]]|[[London Weekend Television]]|[[Yorkshire Television]]|[[Tyne Tees Television]]|[[Meridian Broadcasting]]|[[Anglia Television]]|[[Harlech Television|HTV]] (sold to [[Carlton Communications|Carlton]] for competition reasons)|[[Border Television]]}}
| logo_caption = Final logo, used from 2000 to 2004
| logo = Granada plc logo (2000).svg
| foundation = {{Start date and age|df=yes|1930}}
| location = [[London]] and [[Manchester]], UK
}}

'''Granada plc''' (previously called '''Granada Ltd.''', '''Granada Group plc''', and '''Granada Media plc''') was a British [[Conglomerate (company)|conglomerate]] best known as the parent from 1954 to 2004 of the [[Manchester]]-based [[ITV Granada|Granada Television]].

The company agreed a corporate takeover of [[Carlton Communications]] in 2004 and Granada plc subsequently became [[ITV plc]] on 2 February 2004. It was once a constituent of the [[FTSE 100 Index]].

== History ==
=== Media business ===
<!-- What happened before the television business? -->
Granada has its origins in [[Sidney Bernstein, Baron Bernstein|Sidney Bernstein]]'s '''Granada Theatres Ltd''', a [[movie theater|cinema]] company founded in [[Dover]] in 1930. The company was incorporated as '''Granada Ltd''' in 1934, with Granada Theatres Ltd turned into a subsidiary.<ref name=history>{{Cite web|url=https://www.itvplc.com/about/history/2017|title=2017|website=itvplc.com}}</ref> Granada has been listed on the [[London Stock Exchange]] in one form or another since 1935.<ref name=history/> It was awarded the North of England [[ITV (TV network)|ITV]] franchise in 1954, broadcasting as [[ITV Granada|Granada Television]].<ref name=history/> The company also established a chain of television rental shops from 1959 onwards, expanding in 1968 by purchasing Robinson Rentals for £8 million from [[David Robinson (philanthropist)|David Robinson]].<ref>[https://www.robinson.cam.ac.uk/about-robinson/college-archive-and-history/sir-david-robinson "Sir David Robinson"], Robinson College</ref>

Granada entered the publishing business in the 1960s: it bought [[Mayflower Books]] from their founding U.S. publisher, Dell Publishing, and [[Panther Books]] (including [[Paladin Books]], founded 1966 by [[Sonny Mehta]]<ref>Cowdrey, Katherine (31 December 2019), [https://www.the bookseller.com/news/one-worlds-best-editors-sonny-mehta-dies-aged-77-1144086 ''Sonny Mehta dies aged 77], ''[[The Bookseller]]''.</ref>) by 1968, which imprints continued to be run separately editorially, and added [[Rupert Hart-Davis]] and [[MacGibbon and Kee]] which it combined to form [[Hart-Davis, MacGibbon]] in 1972. Eventually the various publishing companies were combined as '''Granada Publishing'''. [[William Collins, Sons]] acquired Granada Publishing in 1983,<ref>[https://archiveshub.jisc.ac.uk/search/archives/76cdfec7-3db2-38f8-a8de-29401f6269c4 Records of Granada Publishing Ltd, publishers, St Albans, Hertfordshire, England], archiveshub.jisc.ac.uk. Retrieved 25 February 2024.</ref> renaming it [[Grafton Books]] after the editorial offices' address.<ref>"British firms unite to launch mass PB venture". ''[[Publishers Weekly]]''. Volume 209, Part 2; p. 19.</ref>

During the 1980s, Granada became involved in the [[British Satellite Broadcasting]] [[satellite television]] company. This went on air in March 1990, but merged with [[Sky Television (1984–1990)|Sky Television]] in November 1990 to form [[Sky UK|British Sky Broadcasting]] (BSkyB), in which Granada had a minority shareholding for some time. In 1991, Granada Theatres Ltd was sold to [[Bass PLC|Bass]]. In 1994, Granada acquired [[London Weekend Television]].<ref name=history/> Two years later, Granada, LWT and a British consortium of cable channels formed '''Granada Media Group plc''',<ref>{{Cite news |date=1996-04-03 |title=INTERNATIONAL BRIEFS;Granada Group Forming Unit for Media Ventures |language=en-US |work=The New York Times |url=https://www.nytimes.com/1996/04/03/business/international-briefs-granada-group-forming-unit-for-media-ventures.html |access-date=2022-07-16 |issn=0362-4331}}</ref><ref>{{Cite web |date=1996-04-01 |title=A sombre suit and a galaxy of stars |url=https://www.independent.co.uk/news/media/a-sombre-suit-and-a-galaxy-of-stars-1302907.html |access-date=2022-07-16 |website=The Independent |language=en}}</ref> which a year later acquired [[ITV Yorkshire|Yorkshire-Tyne Tees Television plc]].<ref name=history/> In 1997, Granada expanded onto the North American market by launching '''Granada Entertainment USA'''.<ref>{{Cite web |last=Richmond |first=Ray |date=1997-05-13 |title=Granada expanding to U.S. |url=https://variety.com/1997/scene/vpage/granada-expanding-to-u-s-1116680668/ |access-date=2022-07-16 |website=Variety |language=en-US}}</ref>

In March 1998, Granada announced their plans to launch a home video unit,<ref>{{cite magazine | url=https://books.google.com/books?id=-w4EAAAAMBAJ&dq=Video+Collection+International+Channel+4&pg=PA59 | title=U.K.'s Granada Group Seeking Distributor For New Video Arm |magazine=[[Billboard (magazine)|Billboard]] | date=7 March 1998 }}</ref> eventually signing a five-year deal with [[Video Collection International]] to launch Granada Video in September.<ref>{{cite magazine | url=https://books.google.com/books?id=yQ4EAAAAMBAJ&dq=Video+Collection+International&pg=PA6 | title=Granada Video Launched |magazine=[[Billboard (magazine)|Billboard]] | date=28 March 1998 }}</ref>

Granada also bid together with [[Carlton Communications]] and BSkyB for one of the UK [[digital terrestrial television]] licences. They won the licence, though BSkyB was excluded from the company, [[ITV Digital|ONdigital]], on competition grounds.<ref>{{Cite web|url=http://tvcream.co.uk/ott/www.offthetelly.co.uk/index.html|archiveurl=https://web.archive.org/web/20080206101426/http://www.offthetelly.co.uk/features/itv/tendays.htm|url-status=dead|title=Off The Telly|archivedate=6 February 2008}}</ref> It went on air in 1998, was rebranded to ITV Digital in 2001, then entered voluntary liquidation before closing in 2002.<ref>{{Cite news|url=https://www.independent.co.uk/news/business/news/bskyb-facing-legal-threat-over-ondigital-100707.html|title=BSkyB facing legal threat over ONdigital|last=Tomlinson|first=Heather|date=17 August 2003|work=The Independent|access-date=26 May 2018|language=en-GB}}</ref>

In 2000, Granada purchased [[UBM plc|United News & Media's]] television interests, namely [[ITV Meridian|Meridian Broadcasting]] and [[ITV Anglia|Anglia Television]];<ref name=history/> Granada was forced to sell the [[ITV Wales & West|HTV]] broadcasting business (to Carlton) for competition reasons, though it held onto HTV's network production business. It also acquired [[ITV Border|Border Television]] in 2001,<ref>{{Cite web|url=https://www.independent.co.uk/news/media/granada-to-buy-border-tv-assets-for-pound50m-if-capital-wins-bid-battle-721610.html|title=Granada to buy Border TV assets for £50m if Capital wins bid battle|website=[[Independent.co.uk]] }}</ref> from [[GCap Media|Capital Radio plc]].<ref>{{Cite web|url=http://news.bbc.co.uk/2/hi/uk_news/scotland/716361.stm|title=BBC News &#124; SCOTLAND &#124; Capital agrees Border carve-up|website=news.bbc.co.uk}}</ref>

=== Red Arrow (later Granada) TV Rental ===
Until 2000, there was a widespread high street chain called '''Granada TV Rental''' in the UK, Canada and in the US. The UK headquarters were originally in Manchester. The company started life as Red Arrow TV Rental, using a red version of Granada's north-pointing arrow as its logo. This was a home entertainment equipment rental chain, similar to [[Radio Rentals]] and [[Rediffusion]]. The mainstay of the business from the late 1950s, and through the 1960s and 70s, was television set rental; during this period television receivers were expensive to purchase and were often unreliable.

In 1978, the company expanded its operations into the domestic [[videocassette recorder]] (VCR) rental market. This new household item was also a high-cost purchase: for example, a [[JVC HR-3300]] [[VHS]] recorder cost £680 in 1978,{{Citation needed|date=June 2017}} {{Inflation|UK|680|1978|fmt=eq|cursign=£|r=-2}}.{{Inflation/fn|UK|df=yes}} In the 1980s, the rental of satellite TV reception equipment became another opportunity for the company to supplement its declining income.

As electronic product prices fell and their reliability improved, consumer behaviour changed from renting to buying electrical goods. This drift away from rental eventually resulted in the decline of this chain and others. Granada purchased Telefusion (a Blackpool-based rental company) and DVR. It went on to merge with Robinson Rentals, moving the Granada base from Sharston Road, Manchester, to the Robinson building on Ampthill Road, [[Bedford]]. The two main players at this time were Granada TV Rental (GTVR) and Radio Rentals. Both were experiencing a decline in business and in 2000 they merged to form [[Boxclever]].<ref>{{Cite news|url=https://www.independent.co.uk/news/business/news/byers-gives-go-ahead-to-granada-tv-rental-merger-279958.html|title=Byers gives go-ahead to Granada TV rental merger|last=Cope|first=Nigel|date=20 April 2000|work=The Independent|access-date=26 May 2018|language=en-GB}}</ref>

Red Arrow was one of a number of experimental companies launched by Sidney and Alex Bernstein's Granada Group and was, apart from Granada Cinemas and Granada Television, by far the most successful. Others included Green Arrow – artificial plant and flower leasing to companies – and Black Arrow – office furniture and equipment leasing. This company was disposed of and has no connection with any other venture of a similar name.

=== Catering business ===
Aside from media, Granada's other main strength was in the catering business. It opened its first [[motorway service area]] in 1964, and established a chain of service areas across the British [[motorway]] network. Granada was the first British service station operator to move away from fancy dining and instead offer a basic but quicker service. Soon, all the other operators took on this idea. Granada's hospitality arm was at its strongest in the 1990s under [[Gerry Robinson]]'s chairmanship of the group. At one time the company owned and operated 75% of the motorway service areas.{{cn|date=August 2024}} It expanded into other areas of catering, including most notably the acquisition in 1996 of [[Forte Group]].<ref>{{Cite web|url=https://www.findarticles.com/p/articles/mi_qn4158/is_/ai_n9637762|title=Granada buys maximum stake}}</ref> This included rival operator [[Welcome Break]] (later sold due to regulations), roadside chains [[Little Chef]] and [[Happy Eater]], and Forte's hotels (including [[Travelodge UK|Travelodge]] and [[Le Méridien]]).

In July 2000, Granada merged with [[Compass Group]] plc to form '''Granada Compass plc''', as part of a strategy to separate Granada's media and catering interests.<ref>{{Cite web|url=https://www.independent.co.uk/news/business/news/granada-compass-merger-designed-to-avoid-paying-pound15bn-tax-liability-627852.html|title=Granada Compass merger 'designed to avoid paying £1.5bn tax liability' - Business News, Business - The Independent|website=[[Independent.co.uk]] |date=17 January 2011|archive-url=https://web.archive.org/web/20110117041017/http://www.independent.co.uk/news/business/news/granada-compass-merger-designed-to-avoid-paying-pound15bn-tax-liability-627852.html |archive-date=17 January 2011 }}</ref> The demerger took place in early 2001, with the media business becoming '''Granada Ltd'''.<ref>{{Cite news|url=https://www.telegraph.co.uk/finance/4475861/Granada-outlines-demerger-proposals.html|title=Granada outlines demerger proposals|last=Wootliff|first=Benjamin|date=19 December 2000|work=The Telegraph|access-date=8 June 2017|language=en}}</ref> The motorway service stations were soon rebranded as [[Moto Hospitality|Moto]].

=== Other ventures ===
* In the 1960s, when [[Bingo (United Kingdom)|bingo]] was at its most popular, Granada turned some of their cinema chains into bingo halls. This business was sold to [[Bass Brewery|Bass]] in 1991 and was rebranded as [[Gala Coral Group|Gala Bingo]].
* From the late 1980s to the late 1990s, Granada operated three [[Theme Park|theme parks]]:
** [[Camelot Theme Park|Camelot]] was purchased by Granada in 1986 along with Park Hall Leisure. The park near [[Charnock Richard]], Lancashire, had a medieval theme and featured a [[jousting]] arena. It was sold by Granada in 1998 and closed in 2012.
** [[The American Adventure Theme Park|The American Adventure]] was opened by Granada in 1987 in [[Ilkeston]], Derbyshire. The site had been sold by Derbyshire County Council after a failed theme park called Britannia Park closed 10 weeks after opening. The park was successful for several years and was known for having the tallest [[Log flume (ride)|log flume]] in the United Kingdom. Granada sold the park in 1997 after its business started to decline; it eventually closed at the end of 2006.
** The [[Granada Studios Tour]] was opened in 1988. It was a Granada Television themed park that featured sets, props and techniques used by the company. In 1997 the park gained [[Skytrak Total]], the world's first [[flying roller coaster]]. The park closed to the public in 1999 and fully in 2001, during the company's difficulties with [[ITV Digital]].
* From 1988, Granada opened and operated a chain of bowling alleys under the name GX Superbowl. In 1995, the chain was sold to Allied Leisure.<ref>{{Cite news|url=https://www.independent.co.uk/news/business/upgrade-for-allied-bowls-1319272.html|title=Upgrade for Allied bowls|date=16 February 1996|work=The Independent|access-date=23 Jan 2022|language=en-GB}}</ref>
* Granada purchased the Madison chain of nightclubs from Taz Leisure Group in 1989.<ref>{{Cite news|url=https://www.britishnewspaperarchive.co.uk/viewer/bl/0002240/19890610/142/0013|title=Madison Nightclubs Sold|date=10 June 1989|work=Newcastle Journal|access-date=23 Jan 2022|language=en-GB}}</ref>
* In 1983, Granada Microcomputer Services were set up to supply computer hardware to businesses. These services were originally marketed as shops but later became "business centres". This business was sold in 1987.
* Granada expanded into book publishing in 1961, but sold the business in 1983. They also owned publishers [[Leckie and Leckie]].

== Merger with Carlton ==
In 2002 speculation began to centre on when, not if, [[Carlton Communications|Carlton]] and Granada would merge. In 2003 a merger was agreed between the two companies, with Granada shareholders owning two-thirds of the new company.<ref>{{Cite news|url=http://news.bbc.co.uk/2/hi/business/3450397.stm|title=ITV shares on London stock market|date=2 February 2004|via=news.bbc.co.uk}}</ref> That the new company was in effect a takeover by Granada of Carlton was admitted in the first annual report of the new company, [[ITV plc]], which treated the company as effectively a continuation of Granada plc (with the Carlton merger regarded as an acquisition) for accounting purposes.

The Granada name continues on as the official name of the North West ITV region and its on air regional news programme [[Granada Reports]] and was used to brand productions of ITV plc companies on channels other than ITV branded channels in the United Kingdom until it was replaced by the [[ITV Studios]] brand in 2009.

== Operations ==
At the time of the merger with Carlton Communications, Granada was mainly involved in the television business. It owned seven [[ITV (TV network)|ITV]] companies – [[ITV Granada|Granada Television]], [[London Weekend Television]], [[ITV Yorkshire|Yorkshire Television]], [[Tyne Tees Television]], [[ITV Meridian|Meridian Broadcasting]], [[ITV Anglia|Anglia Television]] and [[ITV Border|Border Television]]. It also owned the [[ITV Digital Channels Ltd]] pay-TV business, which at the time offered two channels, [[Men and Motors]] and [[Granada Plus]]. ITV plc has since taken full control of GSB and closed down archive channel Plus in favour of ITV3. Granada also owned 50% shares in [[ITV2]] and the [[ITV News Channel]], and a 20% share of [[Independent Television News]]. It also owned 45% of [[TV3 (Ireland)|TV3]], Ireland.

[[Charles Allen (businessman)|Charles Allen]] was chief executive of Granada until 2 February 2004, when he became chief executive of the newly created [[ITV plc]], a post he retained until 1 October 2006.

== See also ==
* [[ITV Granada]], formerly Granada Television
* [[ITV Studios]], formerly Granada Productions
* [[Red Heart]], joint venture with [[Seven Network]]

== References ==
{{reflist}}

== External links ==
* [https://web.archive.org/web/20060209055806/http://www.ketupa.net/granada2.htm History of Granada Group]

{{ITV}}
{{Authority control}}

{{DEFAULTSORT:Granada Plc}}
[[Category:ITV (TV network)]]
[[Category:Granada Television|Granada plc]]
[[Category:Television broadcasting companies of the United Kingdom]]
[[Category:Defunct mass media companies of the United Kingdom]]
[[Category:Companies formerly listed on the London Stock Exchange]]
[[Category:British companies established in 1930]]
[[Category:Mass media companies established in 1930]]
[[Category:Companies disestablished in 2004]]
[[Category:Defunct companies based in Manchester]]
[[Category:Compass Group]]