Sky could shut down channel
9 November, 2017, 12:00 am
LONDON – British broadcaster Sky SKYB.L. has said that it could shut down Sky News if its ownership of the channel proves to be an obstruction to the company’s 11.7 billion-pound ($F32b) takeover by Rupert Murdoch’s Twenty-First Century Fox (FOXA.O).
Fox’s 10.75 pound-a-share bid to acquire the 61 per cent of Sky that it does not already own is being investigated by Britain’s Competition and Markets Authority (CMA), which is examining whether the takeover would have an adverse impact on the country’s plurality of media ownership and broadcasting standards.
Murdoch-controlled News Corp (NWSA.O) also owns The Times and The Sun newspapers in Britain.
In a submission made to the CMA last month but published by the regulator on Tuesday, Sky said it “would likely be prompted to review” its position “in the event that the continued provision of Sky News in its current form unduly impeded merger and/or other corporate opportunities available in relation to Sky’s broader business”.
The broadcaster said: “The CMA should not in its assessment simply assume the ‘continued provision of Sky News’ and its current contribution to plurality, ‘absent the transaction'”.