Rupert Murdoch given BSkyB takeover go-ahead

Ofcom and British government clear buyout plans

Murdoch to up his 39 per cent share in BSkyB

Rupert Murdoch’s attempts to buy the remaining stake of BSkyB have been bolstered by a recent government decision that has given the green light to News Corps’ latest proposal.

Having ended concerns that a full BSkyB takeover would give News Corp too large a stake in the British Media, Murdoch’s company has been given the go ahead by the British Government after it proposed to split Sky News from the BSkyB package to run as a separate, independent company.

Murdoch who currently owns 39 per cent of BSkyB is reportedly planning on buy the remaining 61 per cent of the company at a predicted 850 pence per share in a buyout totalling £9.1 billion. The buyout has stoked much debate over media control with News Corp currently owning The Sun, The News of the World, The Times and The Sunday Times in the UK.

Speaking on the proposed deal Culture Secretary Jeremy Hunt was keen to stress the government had cleared the plans in a just, fair manner. He stated the government are: "very, very conscious that people are suspicious of politicians' motives," adding "Ofcom assured me that News Corp's undertaking addressed its concerns about media plurality."

With current shareholders in Sky News to retain their stake in the company Hunt went on to stress: "The undertakings offered would ensure that shareholdings in Sky News would remain unchanged, and indeed offer it more independence from New Corporation than it currently has.”

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Via: BBC