Comcast Launches Bidding War Against Fox With Rival £22BN Takeover Bid For Sky

Comcast has launched a bidding war against Rupert Murdoch’s takeover of Sky with a rival £22 billion offer for Britain’s biggest pay-TV broadcaster. The US media and telecom giant which owns NBC Universal and is the largest US cable operator made an all-cash offer of £12.50 a share, a 16% premium on the offer from Murdoch’s 21st Century Fox, which values Sky at about £19bn.

Fox owns 39% of Sky and submitted its bid to take full control in December 2016, but the deal has been held up by regulatory issues.

Here are the key details from the Comcast proposal (full text here):

  • Sky Shareholders will be entitled to receive GBP12.50 in cash for each share, Comcast says, consideration implies a value of about GBP22.0 billion for Sky.
    • Comcast says it has committed financing available to satisfy the full consideration payable
    • Comcast currently anticipates deal will complete before the end of 2018
    • Sky Shareholders shall be entitled to receive any final dividend in respect of the financial year ended 30 June 2018, up to 21.8p per share
  • Combination with Sky is expected to be accretive to Comcast’s free cash flow per share in year one, excluding one-time transaction related expenses
    • Comcast expects deal to generate annual run-rate synergies of around $500 million
    • Comcast intends to give binding undertakings enforceable by the Sky News Board to maintain safeguards to protect Sky News’ editorial independence for ten years
  • Comcast also committed to protecting media plurality in the U.K. and is intending to give a binding post-offer undertaking not to acquire any majority interest in any newspapers in the UK for five years

Comcast made its move on Sky after having an offer for 21st Century Fox’s entertainment assets, which include Sky and the Deadpool to X-Men Hollywood studio 20th Century Fox, spurned by Murdoch last year. Meanwhile, Murdoch agreed a $66bn (£47bn) sale to US rival Disney but this has been held up, as Fox’s own deal for Sky continues to be scrutinized by the UK competition regulator over issues including media plurality concerns.

Earlier this month, the UK takeover panel ruled that Disney must make a full takeover bid for Sky even if the competition regulator quashes Murdoch’s attempt to buy 100% of the pay-TV broadcaster.

Following the news, sky shares spiked 3% in London trading.

In response to the Comcast overbid, FOX said that it remained committed to the cash offer for Sky, and is considering options.

Comments

CuttingEdge DownWithYogaPants Wed, 04/25/2018 - 06:29 Permalink

"Comcast also committed to protecting media plurality in the U.K. and is intending to give a binding post-offer undertaking not to acquire any majority interest in any newspapers in the UK for five years".

 

Err?

Pull the other one - it's got bells on. You cunts are all in it together anyway.

How about you insidious vermin fuck off and die instead?

In reply to by DownWithYogaPants

JelloBeyonce Wed, 04/25/2018 - 07:23 Permalink

"Comcast has launches bidding war.....against rival"?

"Murdoch’s 21st Century Fox"?

 

The largest institutional shareholders (& thus effective controllers) of Comcast include:
Vanguard
Dodge & Cox
Capital World
State Street
BlackRock
Northern Trust
Wellington Management

And other of the largest money management firms

 

The largest institutional shareholders (& thus effective controllers) of Twenty-First Century Fox include:
Vanguard
Dodge & Cox
Capital World
State Street
BlackRock
Northern Trust
Wellington Management

And other of the largest money management firms

So they become eventual owners of Sky, regardless of which corporation ends up buying it. 
This is one way (in many) in which stocks are grossly manipulated.

These money management firms mostly operate cooperatively, and are the largest institutional shareholders (& thus effective operational controllers) of the largest "competing" corporations in most every industry.

They are creating virtual monopolies, via large stock ownership.

With every pricing bubble, comes the inevitable crash.  These largest institutional shareholders, via this stock pricing manipulation, know when to buy and when to sell......as they control the markets.

 

Dilluminati Wed, 04/25/2018 - 07:52 Permalink

I cut the cord, went OTA with Silicon dust, dumped phone and went Ooma, and finally comcast got my $ right on internet.  But really I'm almost determined to cut that as well and GIVE THEM NOTHING!  Century Link has a DSL hub on my own road, so my ground loop to them is less than 1/2 mile.  I read this article and think I should not be giving them ANYTHING and will start migrating my email off of their system.  

Comcast is the most unethical company on the face of the globe. There is no limit to the lies, fraud, and theft that that company employs.  Sherman Antitrust has failed us as any discussion of anything but a shattered Comcast is discussed.

William Dorritt Wed, 04/25/2018 - 10:07 Permalink

Roof antenna $0 mo

Dry internet connection $45 mo

ooma unlimited phone service $15 mo

flip phone $100 year

movies from my library

Afternoon discount first run movies $5, not many worth the 5

Garden produces more than I can eat in season

No car payment

No house payment

 

Retail Apocalypse Cause, Burn in Hell McCain

Ins pre Affordable Care was $200 mo,

after Obama care now $1200 mo

with zero benefits after absurd deductible and co-pays.