SpotlightMay2018

By David MacDonald R epresentatives from Comcast apparently take the old American adage “Go big or go home” very seriously. That’s according to Reuters who reported in late April that the US media group formally submitted a GBP 22 billion (USD 30.7 billion) bid for a controlling 61 percent share in Sky, the European pay-TV group. Comcast’s bid, which amounts to 12.50 pounds per share, eclipses Rupert Murdoch’s 10.75 pounds per share bid that Sky has left sitting on the table since December 2016. Twenty-First Century Fox, the face of Murdoch’s financial empire, already owns a 29 percent share of London-based Sky, raising concerns about a potential monopolization of public opinion through 24-hour news mediums like Sky News. Muddying the waters even more for Sky’s lead advisor, PJT Partners, is the fact that Murdoch and Twenty-First Century Fox are in the middle of a virtual fire sale. Many of its film and TV assets, even its USD 52 billion stake in Sky, have been hastily grabbed off the shelf by Walt Disney. It gets even murkier for PJT’s Independent Committee when it considers their responsibility to the shareholders who have enjoyed Sky’s trip across The Channel to become one of Europe’s major broadcasters – all under the guidance of James Murdoch, Rupert’s son. At the onset of what has been described as a bidding war with a “tight lid” Sky shares rose 3.8 percent to 13.57 pounds. Comcast’s offer, however, has been described as “fully valued.” Comcast is the largest cable operator in the US with names like NBC and Universal Pictures under their umbrella.

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MAY 2018 • SPOTLIGHT ON BUSINESS MAGAZINE

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