British commercial TV broadcaster Carlton Communications confirmed it had accepted rebel shareholders' demands for its chairman Mr Michael Green to step aside as chairman-designate of the newly-merged ITV.
The Carlton board will give an undertaking to Fidelity and other shareholders accepting their request that an independent non-executive chairman from outside Carlton and Granada should be appointed chairman-designate of ITV, said the company.
"Michael Green as chairman together with the Board of Carlton Communications remain committed to the completion of the merger and intend to play a full and active role in this process," added Carlton.
Earlier, Granada, which is merging with Carlton to create a single ITV, backed a powerful group of rebel shareholders - led by US fund manager Fidelity - calling for Mr Green to step aside.
Like the shareholders, Granada said it wants a non-executive chairman to come from outside Granada and Carlton.
The investors have far more than the 10 per cent needed to requisition a special shareholder meeting and analysts believe they would have enough support to get the 50 per cent of Carlton shares needed to oust Mr Green.