Comcast challenges 21st Century Fox's bid to buy Sky

Eileen GuzmanMar 02, 2018

The biggest cable operator in the United States offered on Tuesday to pay $31 billion to buy Sky, challenging Rupert Murdoch's Fox and Bob Iger's Walt Disney for the European pay-TV group.

Fox has long owned a 39 percent stake in Sky and offered to buy the remaining 61 percent in December 2016.

At the time of writing on Tuesday morning, in the immediate wake of the Comcast announcement, Sky's shares have shot up by more than 20% to £13.27, outstripping the price offered by either suitor. "I think we're all very familiar and comfortable in those relationships evolving as ownership and acquisitions occur in media business", he said.

It comes down to this: Sky is a solid European business, and it boasts a huge library of exclusive, premium television content.

During a taxi ride in London, Roberts says a cabbie taught him a lot about the features of Sky; that, combined with a visit to the provider's store, helped seal the deal in his mind. It has 23 million customers and leading positions in the UK, Italy, and Germany.

"At the moment, Comcast does have presence in these markets mainly through its NBC Universal film and TV assets but this would give it a very powerful distribution pan-European network".

The company recently splurged £3.57bn to secure the lion's share of the rights to screen top level English football from the Premier League this month. Fox said that it stays committed to the offer it previously made.

The bid opens a new avenue of competition between Comcast and Disney, which is now in the process of acquiring the entertainment assets of 21st Century Fox for $66bn (£47bn).

Fox has since proposed several measures to try to assuage the regulator's fears over the Murdochs' potential influence.

Ultimately, Fox meant to sell Sky, along with a slew of other media assets, to Disney for $52 billion.

Fox responded by pledging to strengthen the independence of Sky News ahead of the Competition and Markets Authority's final report, which must be submitted by 1 May.

Among Comcast's commitments that were seen as important for a government review of the takeover offer were a promise to keep Sky's West London headquarters campus and to support its continued content investment.

Now the question is what Disney might do next and whether it will be content to let Fox take the lead or initiate a bid of its own for all of Sky.

"Unfortunately, the bad outweighs the good", Moffett said.

If Disney refused, then Fox would have to find the money itself, "which means it is then looking at a loss if Disney did end up acquiring 100% of Sky".

"Sky is going to sky", said Eric Schiffer, chief executive officer of the Los Angeles private equity firm Patriarch Organization. Its rival in that bid was Comcast, which dropped out of the running in mid-December.

Comcast added that it did not believe its offer "should create any media plurality concerns in the UK".

Jerry Dellis, analyst at Jefferies, said the stage was set for a bid battle, with Fox incentivised to counter-bid given the risk of the Disney takeover not being approved.

Related Articles:



« Previous article
Next article »


Popular Pages

The Walking Dead showrunner explains Carl's fate
She's headed to rescue King Ezekiel. "It was pretty fantastic the scope of some of the things that we got to do". As we reach the present, Carl is slowly slipping, his skin getting lighter and his speech slightly slowing down.

UEFA make changes to Champions and Europa League from next season
That means whoever finishes fourth in the Premier League this season won't have to go through qualifying, unlike previous years. Four clubs enter at this stage and contest a semi-final for a place in the first qualifying round.

'Walking Dead' fans said goodbye to the most beloved character yet
He didn't know if he was going to get to say goodbye to anyone and I think he definitely wished he could've said goodbye to them. So much so that he couldn't even say goodbye to his son. " You are the author of this night, Gavin ", he tells him.

North Korea is willing to talk with US, South's leader says
Kim Yong Chol himself is blacklisted under Seoul's unilateral sanctions against the North, which subject him to an assets freeze. But Pyongyang Sunday slammed Trump's latest sanctions on its regime as "bringing clouds of war" over the peninsula.

Dominant Kevin Harvick wins in Atlanta a year after speeding violation
Meanwhile, Keselowski was fighting to keep a dominant Harvick at bay for the lead, knowing the race could end at any moment. Trevor Bayne's vehicle started smoking, which led to a caution and a wreck between Bubba Wallace and Ricky Stenhouse Jr.

Kim Kardashian released a new photo with her husband
Kim talked about her love for India with Vogue India for its March 2018 issue with text written by Mira Jacob, read a statement. Chicago looked absolutely adorable in a cream pullover and chequered bib, which perfectly matched her mother's cotton robe.

National Football League plans to fine Cowboys owner Jerry Jones more than $2 million
Jones will be ordered to pay all the legal fees on both sides of the issue associated with the case, the insiders say. Jones reportedly personally lobbied Friel to be lenient toward Elliott, telling her: "I'm saying this as an owner".

Barca lose Semedo for five weeks with hamstring injury
French winger Dembele played his part too late on as he crossed from the left for Suarez to complete a hat-trick. It was Messi's 371st league goal in just 407 appearances for the club. "I'm very happy with Ronaldo's gesture".

See Photos of the Floods Overwhelming the Central US
More and greater floods seem an inevitable outcome . "The good news is it's trending down", Gibson said regarding the Ohio River. As per weathermen, floodwaters on the Ohio River in Louisville and Cincinnati are at their highest level in about 20 years .

Syria's entire territory must be cleansed of terrorists in coming months
He added that another concern of Moscow was that resolution was not used as a pretext to launch an invasion of Syria. Moscow began military operations against terrorist groups in Syria at the request of Damascus in September 2015.