🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Murdoch's Fox unlikely to offer remedies in Sky deal: source

Published 07/13/2017, 02:23 PM
Updated 07/13/2017, 02:30 PM
© Reuters. Media mogul Rupert Murdoch leaves his home in London
GOOGL
-
BSBAy
-
NFLX
-
TFCFA
-
META
-
GOOG
-

LONDON (Reuters) - Rupert Murdoch is unlikely to offer any new concessions to protect the editorial independence of Sky (L:SKYB), increasing the chance that the $15 billion takeover deal goes to a lengthy investigation, a person familiar with the situation said.

Murdoch's Twenty-First Century Fox (O:FOXA) was dealt a blow last month when Britain's media secretary, Karen Bradley, said she was persuaded that the deal could give the Murdochs too much influence over the media, after regulator Ofcom assessed the impact of the transaction.

Murdoch also owns the Sun and Times newspapers in Britain.

Bradley said she would make a final decision on July 14, giving some investors hope that Fox could avert a full investigation if it offered concessions to protect the editorial independence of Sky's 24-hour TV news channel, Sky News.

A person familiar with the deal said however the company was unlikely to offer any new remedies, opting instead to let the competition watchdog examine the deal.

Murdoch, 86, and his family have long coveted full control of Sky, despite the damaging failure of a previous attempt in 2011 when their British newspaper business became embroiled in a phone-hacking scandal which forced them to abandon that bid.

Britain's political leaders have long sought the backing of Murdoch and his newspapers and any attempt to expand his media empire in the country sparks intense political scrutiny.

Rupert's son James, who is chief executive of Fox and chairman of Sky, said in March that worries about his family exerting too much power were unfounded in an era of online providers such as Facebook (NASDAQ:FB), Buzzfeed, Netflix (NASDAQ:NFLX) and Google (NASDAQ:GOOGL).

© Reuters. Media mogul Rupert Murdoch leaves his home in London

Fox has said any referral for an in-depth probe could mean the deal would not close before next June. Both Sky and Fox declined to comment.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.