LONDON--Liberty Global PLC (LBTYA), entrepreneur John Malone's U.S. cable group, Friday said it has increased its stake in ITV Group PLC (ITV.LN), the U.K.'s largest over-the air commercial broadcaster by revenue, to 9.9%.

In a statement, Liberty Global said it acquired 138.7 million shares in ITV, which increases its existing stake to 398.5 million shares.

Liberty Global said it entered into a hedging transaction with respect to the ITV shares it has acquired and obtained further financing from its hedge counterparty. The acquisition of the additional ITV shares, combined with amending an existing hedging transaction with respect to ITV shares, results cash being returned to Liberty.

"Given ITV's operating and stock price performance, we were able to increase our stake to 9.9% with no incremental investment by hedging our existing equity position," said Liberty Global Chief Executive Mike Fries.

"This investment remains an opportunistic one for us in our largest market. ITV is a well-run company with attractive growth potential, and we are pleased to increase our position as their largest shareholder."

Liberty Global said it not intend to make an offer to acquire ITV.

Shares in ITV closed Thursday at 272 pence, valuing the company at GBP11 billion ($17.2 billion).

--Write to Simon Zekaria at simon.zekaria@wsj.com 
 

Subscribe to WSJ: http://online.wsj.com?mod=djnwires