Key Fox and News Corp. shareholder Independent Franchise Partners has spoken out against a plan by Rupert Murdoch to recombine the two companies.
Last month, Fox and News Corp said they had formed a special committee to explore a combination that would bring together Murdoch’s media empire. An IFP representative confirmed to the hollywood reporter the London-based investment firm’s approach to Fox and News Corp.
His opposition came first reported by the Murdoch estate Wall Street Journal on Wednesday. Murdoch has a majority stake in Fox, while IFP, as a key shareholder, has a 7.7 percent stake and another 7 percent stake in News Corp.
Fox Corp. owns the Fox broadcast network, Fox News and Fox Sports, among other ancillary businesses, while News Corp houses The Wall Street JournalDow Jones, UK News, The New York PostRealtor.com, HarperCollins and the Australian pay-TV company FoxTel.
the Wall Street Journal said IFP approached the News Corp. boardroom to argue that any potential recombination of Fox and News Corp. would not secure the full value of the shares of both companies, and that any merger would have to include the sale of key assets in News Corp. as part of any strategic plan. alternatives.
All businesses controlled by Murdoch were previously housed under the News Corp. banner until the company was spun off in 2013. Fox eventually sold most of its entertainment assets to The Walt Disney Co. in a $71 billion deal in 2019.