Rupert Murdoch scraps proposal to combine Fox, News Corp, eyes Move sale

rupert murdoch scraps proposal to combine fox, news corp, eyes move sale

FILE PHOTO: Tennis – US Open

By Dawn Chmielewski, Greg Roumeliotis, Anirban Sen and Helen Coster

(Reuters) -Rupert Murdoch on Tuesday withdrew a proposal to reunite News Corp and Fox Corp as the company is also exploring a sale of Move Inc, which operates the website, to CoStar Group, according to a regulatory filing and sources familiar with the process.

Three sources familiar with the matter said News Corp was in talks to sell its stake in Move to CoStar for about $3 billion.

Several top shareholders had publicly said they opposed the proposed Fox-News Corp combination, and on Tuesday News Corp said in a statement that it was “not optimal for shareholders of News Corp and Fox at this time.”

The deal would have recombined the media empire Murdoch split nearly a decade ago.

News Corp confirmed the talks to sell Move to CoStar after Reuters reported it on Tuesday, adding that there is no guarantee the discussions will lead to a transaction.

A spokesperson for CoStar said the company “continuously evaluates M&A opportunities across a broad range of companies to maximize shareholder value” and does not comment on “market rumors or speculation.”

No offer was exchanged between News Corp and Fox Corp before merger deliberations were abandoned, according to sources familiar with the process, who said pushback from News Corp shareholders played a role in those plans being scrapped.

A rally in News Corp shares in recent weeks meant that Fox would have had to pay a significant premium for the merger to be agreed, something that the Murdochs did not believe they could justify to shareholders, people familiar with the matter said.


While Fox’s stock is down 5%, News Corp shares are up 25% since the talks between the two companies were first announced on Oct. 14. News Corp currently has a market capitalization of about $11 billion, while Fox is valued at a shade over $17 billion.

Murdoch proposed reuniting his media empire last fall, arguing that together the publishing and entertainment companies he split apart in 2013 would give the combined company greater scale in news, live sports and information, sources said.

Several people close to the Murdochs viewed the attempt to combine the media companies as driven by the 91-year-old Murdoch’s succession planning to consolidate power behind his son and Fox head Lachlan Murdoch, a notion the company described as “absurd” in November.

Some of News Corp’s larger shareholders, including Independent Franchise Partners and T. Rowe Price balked at the idea.

Rupert Murdoch and his family trust control about 40% of News Corp and Fox. Had a deal been reached, they would have abstained from voting their shares when each company sought shareholder approval for the merger, because of the potential conflict of interest. This made securing the backing of other major shareholders a prerequisite to the deal going through.


Activist investment firm Irenic Capital, which was among the first to say that the proposed reunion would likely undervalue News Corp, on Tuesday applauded the decision to not move forward.

“This is the right decision,” Irenic’s chief investment officer Adam Katz said. “Looking ahead, News Corp has an opportunity to create substantial value for its owners.”

News Corp agreed to buy Move in 2014 for $950 million to diversify its digital real estate business which, at the time, was primarily in Australia.

Since then, News Corp investors had been calling on the company to spin off its digital real estate assets. Irenic also publicly urged News Corp to sell its Dow Jones media properties.

On a slide-deck presentation in November, Irenic estimated News Corp’s 80% stake in Move was worth $1.4 billion on $2.47 per share.

In a letter to News Corp employees on Tuesday, News Corp Chief Executive Robert Thomson said: “In my note to you in October, I said the Special Committee assessment would have no impact on our current operations; that was indeed the case, and remains so following today’s announcement.”

(Reporting by Dawn Chmielewski in Los Angeles, Svea Herbst-Bayliss, Greg Roumeliotis, Anirban Sen and Helen Coster in New York; additional reporting by Deborah Sophia in Bengaluru; Editing by Bill Berkrot and Grant McCool)

News Related


Freeds' White, Schwabs among honourees at business awards

Keith White, left, and Dan Orman, attend the BEA media conference at the J.P. Wisers Experience Centre on Thursday, Jan. 26, 2023. Freeds’ vice president/general manager Keith White, a fixture ... Read more »

With N.L. health-care in crisis, some MUN nursing students worry about what they're getting into

At the edges of Newfoundland and Labrador’s health-care crisis, some nursing students at Memorial University are wondering what they’re about to get into — and whether they want to at ... Read more »

How the convoy protest changed Ottawa and rerouted its history

Wellington Street in Ottawa. One year after a convoy of truckers seized downtown streets, one year after the horns and hot tubs and mayhem, there’s little physical evidence of the ... Read more »

'A ginormous can of worms': How a fight over snow crabs could lead to a win for oil drilling access

A legal fight in Norway over snow crabs could end up having big implications for access to oil in the Arctic. This week Norway’s Supreme Court is hearing a case ... Read more »

The 2 Canadian Dividend Stocks You’ll Want to Own in Tough Times

Dollar symbol and Canadian flag on keyboard It’s not a mystery that tough times lie ahead. Many market participants have been bracing for the recession for many months, even quarters ... Read more »

1 year after fatal stabbing, mother of slain real estate agent pleads for answers

Ramina Shah, a 32-year-old mother from Maple Ridge, was the victim of a fatal stabbing in Coquitlam on Jan. 27, 2022. The family of a Maple Ridge real estate agent and ... Read more »

An asteroid just came incredibly close to Earth

An asteroid just came incredibly close to Earth An asteroid just hurtled past Earth in an event described by NASA as “one of the closest approaches by a near-Earth object ... Read more »

Philip Cross: Face it, millennials: There is no realistic alternative to capitalism

Climate activists carrying a banner reading Faith in capitalism waned during the global financial crisis of 2008-2009 and has been slow to recover, with a growing number of young people ... Read more »

Barry Choi: 6 options for when you can't afford your mortgage

If your mortgage is weighing heavily on your mind, you aren’t alone. Last year, Canadians faced seven interest rate hikes and one more so far in 2023, bringing the overnight ... Read more »

Analytics predicts who will win NFL conference titles, advance to Super Bowl LVII

Analytics predicts who will win NFL conference titles, advance to Super Bowl LVII While Wild Card weekend lived up to the name for the NFL, the divisional round had less ... Read more »

Republican Cites 'Duck Dynasty' When Discussing Race-Based Discrimination

In this combination image, Willie Robertson (L) and Jep Robertson attend the ACM & Cabela’s Great Outdoor Archery Event during the 50th Academy of Country Music Awards at the Texas ... Read more »

Police seize cocaine, crack in Kuujjuaq drug bust

A 27-year-old man has been charged after cocaine and crack were seized in a Jan. 20 drug bust in Kuujjuaq, police say. Regional and provincial police officers carried out a ... Read more »

3 Big-Dividend Stocks to Buy in January 2023

grow dividends Investors need to be careful with stocks that pay big dividends. Any dividend that is floating over 8% is normally one to be very cautious about. The market ... Read more »

Posthaste: Canadians are dealing with inflation by fight, flight or just freezing

Canadians are most price conscious about food and groceries. Good morning. Inflation is fuelling anger, fear and helplessness among Canadians and they’re responding to it through fight, flight or just ... Read more »

Twitter cofounder says Elon Musk has undone positive changes that were made to the platform before his takeover

Elon Musk and Twitter cofounder Biz Stone. Dimitrios Kambouris/Getty Images for The Met Museum/Vogue/Frederick M. Brown/Getty Images Twitter cofounder Biz Stone said Elon Musk reversed positive changes on the site, ... Read more »

'All gas, no brakes': new skip wants pedal to the metal

Meghan Walters, throwing fourth stones for Team Abby Ackland, halts the sweepers during the Scotties Tournament of Hearts championship at the East St. Paul Arena on Wed., Jan. 25, 2023. ... Read more »

Tesla Confirms $3.6 Billion Investment in Giga Nevada Facility

In his inaugural State of the State address on January 23, Nevada Governor Joe Lombardo brought up a new investment from Tesla to be announced this week. The next day, ... Read more »

Edmonton paramedic sentenced after narcotics stolen from Alberta Health Services

Two paramedics were charged after thousands of dollars in controlled substances went missing from Alberta Health Services facilities in Edmonton. An Edmonton paramedic has been found guilty of stealing narcotics ... Read more »

The Honeymoon Bridge in Niagara Falls lasted 40 years before it collapsed

This Day In Weather History is a daily podcast by Chris Mei from The Weather Network, featuring stories about people, communities and events and how weather impacted them. — It ... Read more »

Explore the city: Five things to do this weekend in Saskatoon, Jan. 27-29, 2023

The Hunger Cure Restro Bar in the Scotia Centre offers a broad selection of Canadian and ethnic food and drink selections. Explore the arts, the outdoors or local restaurants with ... Read more »

We're About to Learn How Seriously We Should Take Trump 2024

Former president Donald Trump announces his bid for president at Mar-a-Lago in Palm Beach, Fla., on Nov. 15, 2022. This article is part of The D.C. Brief, TIME’s politics newsletter. ... Read more »

Conservatives say their MPs will stop passing on home internet bills to taxpayers

Conservative leader Pierre Poilievre holds a press conference in the foyer of the House of Commons on Parliament Hill in Ottawa on Wednesday, Jan. 25, 2023. Members of Pierre Poilievre’s caucus ... Read more »

California bar unveils disciplinary charges against Trump lawyer John Eastman

The State Bar of California unveiled new disciplinary charges against John Eastman for his involvement in former President Donald Trump’s efforts to subvert the 2020 election results. The state bar’s ... Read more »

Jack Mintz and Janice MacKinnon: Alberta must assert itself over oil and gas against unilateral emissions cuts

Pipe for the Trans Mountain pipeline is unloaded in Edson, Alberta. on Tuesday June 18, 2019. In Canada, both the federal and provincial governments have significant jurisdiction over climate change ... Read more »

Brookman: Why do we keep having failures to communicate?

We live in an era of communication breakdowns, writes George Brookman. Does anyone know why U.S. President Joe Biden left classified documents in his house? Does anyone know if Alberta’s ... Read more »

Donald Trump Comes Out of Hibernation

Former US President Donald Trump speaks to the crowd during a rally at the Florence Regional Airport on March 12, 2022 in Florence, South Carolina. Donald Trump appears finally ready ... Read more »

Cristiano Ronaldo mistake called out by Al Nassr manager after cup elimination

Ronaldo’s Saudi adventure hit another bump | Sam Bagnall – AMA/GettyImages Al Nassr manager Rudi Garcia has admitted Cristiano Ronaldo’s failure to take a goalscoring opportunity in the first half ... Read more »

Frank Reich is a safe, boring, mediocre hire by the Panthers

The Carolina Panthers were the first team of 2022 to fire their head coach, now they’re the first to hire a replacement. Frank Reich was announced as the team’s new ... Read more »

Saskatoon pastor decries 'mudslinging' over wellness centre

A pastor at Fairmont Baptist Church thinks more should be done to improve community safety following the arrival of the Saskatoon Tribal Council’s emergency wellness centre in Fairhaven. Photo taken ... Read more »

Support team says teen involved in random home invasion is dedicated to rehabilitation

The Provincial Courthouse in Saskatoon, SK on Friday, August 23, 2019. A support team for a 16-year-old boy who invaded a stranger’s home with a machete agreed that a community-based ... Read more »

Today's letters: Canada Revenue Agency employees should be in their offices

The Canada Revenue Agency headquarters, at 555 Mackenzie Ave. CRA, please go back to the office Recently I had to access my Canada Revenue Agency account online and, having locked ... Read more »

Sask. residents lose millions to crypto fraud in 2022

Cryptocurrency fraud is a rising issue in Saskatchewan, according to RCMP Const. Tyson Maxwell. Crypto crooks were hard at work in 2022, fleecing Saskatchewan folks by the dozen. Last year, ... Read more »

Sask. woman gives birth on floor of a townhouse after being sent away from hospital

Tara and Mitchell Luce have three children together. They say that after their experience at the hospital before the birth of their latest child Lincoln, they don’t expect to have ... Read more »

Friday's letters: Manning ideal choice for COVID panel

Reform Party founder Preston Manning has accepted Premier Danielle Smith’s offer to lead a panel on the province’s statutory performance during the COVID-19 pandemic. Please allow me to add to ... Read more »

Bell: Danielle Smith plays nicey-nicey with Trudeau ... for now

Alberta Premier Danielle Smith speaks with media at McDougall Centre in Calgary on Tuesday, January 10, 2023. Wake up in the morning in this province and you just don’t know ... Read more »

Novak Djokovic swats aside Tommy Paul to reach 10th Australian Open final

Photograph: Fazry Ismail/EPA Novak Djokovic began his 10th Australian Open semi-final slightly on edge. He made unforced errors that he would never normally make, he unloaded words of frustration at ... Read more »

DeSantis may just have made the RNC chair race a lot more competitive

Florida Governor Ron DeSantis may have made the race for the new Republican National Committee chair a lot more competitive on the eve of the election. Ronna McDaniel, seeking her ... Read more »

'We have about 50 women who don't have a place to go': A rural women's shelter was turned down for federal funding to build transitional housing. They're not alone

Muriel Lalonde, executive director of Maison Interlude House in Hawkesbury, is disappointed by the CMHC’s refusal of its funding request to build transitional housing for women who have been the ... Read more »

Officials call for calm as video footage of Tyre Nichols' arrest will be released publicly Friday night, authorities say

After five Memphis police officers were charged on Thursday in the death of Tyre Nichols following a traffic stop earlier this month, authorities say video footage of the encounter will ... Read more »

GM, Ford must convince investors they can profit as prices fall

Ford produces its 40 millionth F-series pickup in Dearborn DETROIT (Reuters) – General Motors Co and Ford Motor Co are expected to report strong profits for 2022 next week, powered ... Read more »
Kênh kiến thức kỹ năng, phát triển bản thân, hướng nghiệp, blog nhân sự