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Last Updated: Tuesday, 6 April, 2004, 09:41 GMT 10:41 UK
News Corp prepares to move to US
Rupert Murdoch
Fox News' unapologetically pro-US stance is proving popular
News Corp, the media giant controlled by Rupert Murdoch, is moving its shares from Australia to Wall Street.

The move comes almost 20 years after Mr Murdoch's 1985 decision to take US citizenship, giving up his Australian passport to ease US takeover deals.

The company - registered in Adelaide, South Australia - is to reincorporate in Delaware, a US state well-known for its business-friendly corporate laws.

Listing on Wall Street would mean better access to funds, the firm said.

Three-quarters of both sales and profits come from US operations, such as the New York Post newspaper and the broadcaster Fox TV - and the firm is on the point of taking over satellite network DirecTV.

There's no tax on any of the operations of News Corporation
David DeVoe, News Corp chief financial officer
Other operations include the Star TV network in Asia, the Times of London and 20th Century Fox films.

'No tax'

News Corp's official corporate headquarters have to date remained in Adelaide, the home of the two newspapers Mr Murdoch inherited from his father in 1952 to start his media empire.

The decision to stay there, analysts believe, has been to avoid capital gains charges, even though most of the operational management happens elsewhere and Mr Murdoch himself has lived in the US since the 1970s.

But the allure of listing on Wall Street has proved irresistible.

The company was quick to reassure investors that neither they nor their company were going to get hit with additional taxes as a result of the shift.

"There's no tax on any of the operations of News Corp," its chief financial officer, David DeVoe, told a conference call.

News Corp also noted the move did not mean fresh US acquisitions were in sight - although Mr Murdoch said the firm remained "opportunistic" if prospects arise.


SEE ALSO:
News Corp reports 51% profit jump
12 Feb 04  |  Business
News Corp rises after US TV deal
22 Dec 03  |  Business
DVD sales lift News Corp
05 Nov 03  |  Business


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