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MUMBAI:
Rupert Murdoch-promoted News Corp has decided to exit Sky
Network Television, New Zealand's pre-eminent pay television
broadcasting service, by divesting its 44 per cent stake in
the company.
The
global media conglomerate is the largest shareholder in Sky
New Zealand through its subsidiary News Limited.
The
company has appointed Deutsche Bank to underwrite and, together
with Craigs Investment Partners, to manage the sales of its
Sky shares. The shares are expected to be sold to a broad
range of institutional and retail investors.
Following
the sales, News Limited will no longer have any holding in
Sky Network Television. As a result of the sale, Michael Miller,
Regional Director of News Limited, will resign from the board
of Sky.
News
Corp President and COO Chase Carey said, "Sky is a world
class subscription television business and has been an outstanding
investment for News Corporation. We and Sky have always enjoyed
an excellent, arms-length working relationship and we expect
this to continue unaffected by the sale. In particular, we
do not anticipate any change to current arrangements regarding
access to content and collaboration on technology."
According
to The Australian newspaper, News Limited shares were being
offered at NZ$ 4.80 each, giving the stake a value of NZ$
815 million ($671 million).
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