News Corp now seeks alternative takeover targets to BSkyB
Beleagured US-headquartered media giant News Corp is to pursue alternative acquisitions to BSkyB but will apparently refrain from major restructuring in the wake of its phone hacking scandal.
paidContent:UK is reporting that media tycoon Rupert Murdoch has said that he is “disappointed” at having backed out of the BSkyB bid during the phone hacking furore but is “reassessing” the company’s “near- and long-term priorities for expenditure.”
Meanwhile, News Corp’s president and chief operating officer Chase Carey is quoted as saying: “There are some exciting opportunities to add real value to our core businesses.”
He also added that acquisition targets will be “those in the tens or hundreds of millions, not billions;” - nothing on scale of BSkyB.
Asked if UK or Australian newspapers might be closed down, Murdoch is quoted as replying: “I’m shocked and appalled at what happened in one small corner. Everything else is fine.”
Across the company, he said: “I think we’ve got a very good mix. There are one or two (businesses) that we would sell, but no major restructuring.”
Murdoch also admitted: “We’ve obviously had a big alarm call ...in retrospect, we should have continued investigating,” while also adding his regret. “I am personally determined to put right what went wrong at the News of the World.
“We are all committed to doing the right thing ... There has been no material impact on our operations outside of the closure of News of the World.” Costs for that closure aren’t clear.
Carey also added that the TV business had not yet reached its full potential and that both Fox and Fox News would take subscription fees ‘to a whole new level’ within the next year-and-a-half.
Murdoch added: “If you look at our apps - of the London Times, The Sunday Times, News of the World, New York Post - they are as good as or better than anybody else’s.
“The money coming from that will expand as more people have tablets. What is interesting is, we’re getting tremendous take-up not just on iPad but also on Kindle.”