Skip the merger between News e Fox. At least for now. The publishing magnate Rupert Murdoch he withdrew the proposal to bring together the Fox television group and the holding company that brings together the newspapers owned by News Corp, stating that "the merger does not come at the right time for shareholders".
“Mr. Murdoch indicated that he and (son and Fox Corp. CEO) Lachlan K. Murdoch have determined that a combination is not optimal for News Corp. and Fox shareholders at this time,” the statements read. of the two companies.
Skip the maxi-merger Fox and News: what happened?
The Murdoch family controls both companies, but spun off the Fox holdings into a separate company after selling much of Fox's entertainment empire to Fox. Walt Disney Co. for $71 billion in a deal that closed in 2019.
The media tycoon launched a proposal to reunite his media empire last fall, arguing that together the publishing companies – which owns the Wall Street Journal, New York Post, Sun and Times in UK, and the book publisher HarperCollins – and Entertainment which it split in 2013 would have given the combined company a greater reach of news, live sports and information. The company boards had then formed committees to examine a possible merger.
But immediately several shareholders had raised doubts, including Independent Franchise Partners and T. Rowe Price, who did not believe the transaction would instead add value to News Corp and had advanced alternative solutions, such as the spin-off of some businesses such as Dow Jones.
in pre-market bargaining, shares of News Corp. rose 4,97%, while those of Fox rose 0,29%.
