Tuesday, January 22, 2008

Australian Media - Packer, Murdoch deal confirmed

Following up from my previous post on The Convergence of Media (Internet, Television, Press, Cinema, Outdoor), Lachlan Murdoch and James Packer have announced a $3.3 billion takeover of the media company, Consolidated Media Holdings. This would give each media baron a 50% stake.

The interesting thing not reported is the additional internet assets that come with this deal. It has been reported that Mr Murdoch would become the executive chairman of the new company. Lachlan Murdoch is poised to make a stunning return to the media industry in a $2 billion-plus deal to privatise James Packer's Consolidated Media Holdings.

Media Spy reports ...
The deal is worth $3.3 billion, made up of an offer of $4.06 in cash for each share, as well as a percentage of shares in the recruitment firm Seek, taking the total offer to $4.80.

CMH currently owns a 25% stake in Foxtel, the Nine Network and in ACP magazines. Other media assets include:

  • Ticketek

  • nineMSN

  • carsales

  • myHome

  • skyNews

TechCrunch have also covered this story today.

Off Topic: My dad worked with Lachlan Murdoch for a couple of weeks at News Corp while he did his tour of duty around the business.

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