On The Up: Granada

SHARES in Granada soared by 13 per cent after ONdigital, the pay- TV service jointly owned by Granada and Carlton Communications, said it won 110,000 subscribers since it started last November, matching highest forecasts.

ONdigital aims to win the 70 per cent of UK households who have resisted cable TV and Sky's satellite services. BSkyB's new SkyDigital service won 120,000 customers in its first four months, however, and cable plans new services later this year.

ONdigital "has a good marketing strategy and had fewer technical problems than some bears were saying", said Mathew Horsman, an analyst at Henderson Crosthwaite. He estimates ONdigital will win 350,000 subscribers by the year end.