Comcast outbids 21st Century Fox for Sky

Lloyd Doyle
September 23, 2018

Rupert Murdoch's Twenty-First Century Fox (FOXA.O) expects Sky's (SKYB.L) independent directors to recommend Comcast's (CMCSA.O) $39 billion bid, after which Fox will concede defeat in the battle for the British broadcaster, a source with knowledge of the matter told Reuters.

Comcast's bid equated to £17.28 per share, beating Fox's of £15.67 per share. Both companies were vying for 61% control of Sky.

The deal is the latest in a frenzied period of media giants attempting to buy each other, as traditional broadcast and movie companies face growing competition from tech giants. Then the Sky board will make a recommendation, and Sky shareholders have until October 11 to vote.

"This acquisition will allow us to quickly, efficiently and meaningfully increase our customer base and expand internationally".

It is also a setback for US entertainment giant Walt Disney (DIS.N), which agreed a separate $71 billion deal to buy the bulk of Fox's film and TV assets, including the Sky stake, in June and would have taken ownership of the British broadcaster following a successful Fox takeover.

The future of Sky has been hanging in the balance for more than eight years.

The 21st Century Fox logo is displayed on the side of a building in midtown Manhattan in NY, U.S., February 27, 2018.

Other reports by Iphone Fresh

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