[an error occurred while processing this directive]
BBC News
watch One-Minute World News
Last Updated: Monday, 10 January, 2005, 20:18 GMT
News Corp makes $5.4bn Fox offer
The 20th Century Fox film studio logo
Fox's assets, including 20th Century Fox, are worth about $31bn
News Corporation is seeking to buy out minority investors in Fox Entertainment Group, its broadcasting subsidiary, for about $5.4bn (3.7bn).

The media giant, run by Rupert Murdoch, owns 82% of the shares in the company, home to the Fox television network and the 20th Century Fox film studio.

The move follows News Corp's decision to register its business in the US.

20th Century Fox's recent film releases include I Heart Huckabees and I, Robot, while Fox puts out hit TV series 24.

US move

Under the terms of the offer, minority Fox shareholders will receive 1.90 News Corp shares in return for each Fox share they hold.

Analysts said the decision to list News Corp in the US - which will result in the firm's shares trading in New York rather than Sydney- nullified the need to retain a separate stock market listing for Fox Entertainment shares.

News Corp investors voted in October to approve the transfer of the company's corporate domicile from Australia to the US state of Delaware.

The move is designed to help News Corp attract more investment from the largest US financial institutions, and make it easier to raise capital.

Fox Entertainment Group generated revenues of $12bn last year.

News Corp shares fell 25 cents to $17.65 after the share offer was announced while Fox shares were up 19 cents at $31.22.




SEE ALSO:
Poison pill defence for News Corp
08 Nov 04 |  Business
Liberty remains News Corp 'ally'
10 Nov 04 |  Business
News Corp investors agree US move
26 Oct 04 |  Business


RELATED INTERNET LINKS:
The BBC is not responsible for the content of external internet sites


PRODUCTS AND SERVICES

News Front Page | Africa | Americas | Asia-Pacific | Europe | Middle East | South Asia
UK | Business | Entertainment | Science/Nature | Technology | Health
Have Your Say | In Pictures | Week at a Glance | Country Profiles | In Depth | Programmes
Americas Africa Europe Middle East South Asia Asia Pacific