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LONDON – Twenty-First Century Fox on Wednesday increased its takeover bid for the British television channel Sky, prolonging a bidding war against one of the most sought-after media companies. Europe and ending the empire Rupert Murdoch
Fox's revised proposal to acquire total control of Sky is valuing the company at about $ 32.5 billion, above the 39, $ 30 billion offer presented earlier this year by the US cable giant Comcast. An independent board of Sky 's board of directors said that it would support the new offer.
The last turning point of the battle of the OPA highlights the appeal of Sky, which offers original programming as well as video and broadband access to 23 million customers in five European countries
Comcast provides to make a competing bid for Sky as early as this week, according to two people familiar with the subject who spoke on condition of anonymity. His previous offer had already received the approval of the British government, and Fox is expected to receive approval for his candidacy as of Thursday. This would allow Sky shareholders to evaluate competing bids solely on price.
But Sky is only one element of a larger, complex business confrontation.
Walt Disney Company and Comcast both bought most of Fox's entertainment assets. including Sky and another growing international company, Star India, which would help expand their global reach.
Disney has agreed to pay $ 71.3 billion for most of Fox, an agreement that Fox has accepted and approved by federal regulators. The purchase of Sky's total control, which Disney's general manager, Robert A. Iger, called " a true jewel of the crown," is essential to this effort.
Comcast tried to derail Disney's efforts on several fronts: its own public offering for the same Fox companies that Disney wants, forcing Disney to increase its offering for these assets, and bidding for Sky specifically .
Now, people familiar with the process have said, Comcast is unlikely to sue Fox and will instead focus its efforts on the acquisition of Sky.
Fox underwent a rigorous 18-month review of his broadcaster lawsuit by the British government, which worried to Mr. Murdoch's potential to acquire a disproportionate role in the country
The offer Fox's increased for Sky comes amidst a complex set of requirements according to British takeover rules. The increase in Disney's offer for Fox has also increased the value of 39% of Sky owned by Fox, which desynchronizes these shares with the remaining 61%. Fox's initial offer for Sky was valued at 23 billion pounds.
The British OPA panel, the government agency that reviews Sky's agreement, has not yet determined whether the requirement, called "chain principle," is the only way to go about it. would apply in this case. Normally, the agency requires a higher price for the entire company when part of the shares is purchased through another company.
Under the terms of her revised offer, Fox stated that she would pay 14 pounds, or $ 18.54, shares that he does not already own. Disney and Comcast consider Sky, which Mr. Murdoch founded three decades ago, to be among Fox's most coveted assets, as his international presence would be higher than Fox's. strengthen the global reach of the company. And Sky's broadcast rights ownership, including those of the English Premier League, is particularly appealing.
Sky has the ability to create content and distribute it via satellite and online video. to copy. This would help Disney or Comcast compete with the streaming services of technology giants like Netflix and Amazon who have changed the media landscape.
Following Silicon Valley's video ambitions has been a priority for mainstream media companies that have largely decided to "
" This transformative transaction will allow Sky to continue to compete in an environment that now includes some of the largest companies in the world, but none of them has demonstrated the same local potential. the depth of investment and commitment to the UK and Europe, "said Fox in a statement issued on Wednesday
.Murdoch has long believed in the value of Sky. Tried to acquire total control of the broadcaster in 2010, but was forced to retreat amidst public fury following a phone hacking scandal involving his British tabloids.
He mounted his last push in 2016 The effort has been weighed The British authorities fear that the Murdoch family is already exercising too much control over the country's media.Taking full control of Sky, including its 24-hour information operation out of 24, could go too far, said government officials
Murdoch moved to answer these questions with the help of Disney Fox proposed to sell Sky News to Disney to protect its editorial independence. nouv Water British secretary for culture, Jeremy Wright, is expected to announce a final decision on this plan this week. It was widely expected that his predecessor, Matthew Hancock, would approve of this solution.
Sky revealed Wednesday in a regulatory filing that she would recommend Fox's higher bid to its shareholders. The British broadcaster withdrew its approval of Fox's latest offer after Comcast announced its bid.
But Sky's shareholders, who now include Elliott Management, the ruthless hedge fund run by Paul E. Singer, seem to be waiting for the bidding war. Carry on. Sky's shares were at £ 15.01 midday Wednesday in London, a sign that investors believe Comcast will return to the negotiating table.
Follow Michael J. de la Merced on Twitter: @m_delamerced .
Michael J. de la Merced reported from London and Edmund Lee from New York.
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