ITV PLC (LSE:ITV) shares jumped 9.9% on Monday afternoon following a report it might sell a stake in its production arm.
Expressions of interest had been received from several outsiders to buy parts of ITV Studios, according to the FT, which quoted people 'familiar with the talks'.
ITV Studios is best known for ‘Love Island’ and ‘Coronation Street,’ but is one of the biggest television programme makers in Europe.
Analysts have suggested its production arm may even be worth more than its parent company, which is now valued at £2.7bn following its advance on Monday.
ITV chief executive Carolyn McCall has previously made similar comments, complaining the value of ITV Studios was not reflected in the share price.
The business said it had been exploring options to help cash in on its undervalued assets.
Citi analysts, meanwhile, commented on Monday that selling a stake in ITV Studios would make financial sense.
"If the company could find a way of changing perceptions of the value of the ITV Studios business this could be meaningfully accretive to valuation," they said.
Potential buyers of the stake include private equity firms and other big independent producers such as Bertelsmann's Freemantle or FL Entertainment, the parent company of Banijay, according to the reports.
Shares have nosedived 40% in the year-to-date.