UK invites views on Murdoch’s BSkyB buyout proposal

LONDON (BestGrowthStock) – British communications regulator Ofcom invited comments on the proposed acquisition of BSkyB by Rupert Murdoch’s News Corp and said it would consider how much control individuals have over the media.

Ofcom has been charged with examining whether the proposed 7.8 billion-pound ($12.6 billion) takeover would be against the British public interest. The European Union is investigating potential anti-trust issues.

The watchdog said on Friday it would consider content types, audiences, media platforms, control of media enterprises and future developments in the media landscape.

It said it also invited suggestions for remedies if it were found that media power would be excessively concentrated.

News Corp also owns newspapers in Britain including The Times and the country’s best-selling tabloid, The Sun, which supported Prime Minister David Cameron during this year’s election campaign.

U.S. media conglomerate News Corp has proposed to pay 700 pence per share for the 61 percent of BSkyB it does not already own. Murdoch helped build the satellite broadcaster and News Corp is keen to consolidate the asset and its cash flows.

BSkyB’s independent directors have rejected the offer but said they would be prepared to support a bid of above 800 pence per share.

BSkyB shares closed up 1.2 percent at 720 pence on Friday.

(Editing by Will Waterman)

($1=.6198 Pound)

UK invites views on Murdoch’s BSkyB buyout proposal