Sky share price: Elliott Management takes up stake in group

Move comes ahead of shareholder vote on Fox takeover

Sky share price: Elliott Management takes up stake in group

Activist investors Elliott Management has snapped up a stake in Sky (LON:SKY), a regulatory filing has revealed. The move comes as Rupert Murdoch’s 21st Century Fox looks to acquire the London-listed pay-TV provider.

Sky’s share price rose on Friday, gaining 1.16 percent to close at 1,048p, outperforming the broader UK market, with the benchmark FTSE 100 index ending the session 0.65 percent higher at 7,665.54 points. The group’s shares have added a little over five percent to their value over the past year, as compared with about a seven-percent rise in the Footsie.

Elliott snaps up stake in Sky

Elliott revealed in a regulatory filing on Friday that it had built up a 1.1-percent stake in Sky. The Times noted in its coverage of the news that the move comes ahead of a possible shareholder vote on its £11.7-billion takeover by 21st Century Fox. The newspaper further reports that some hedge funds, including Odey Asset Management and Polygon, are pushing for an increase on the £10.75-per-share offer from Fox. The US group inked a deal with Disney last year to sell some of its assets, including its holding in the London-listed group.

The move also comes after the FTSE 100 pay-TV group updated investors on its half-year performance on Thursday, revealing a rise in revenues and earnings, and hiking its interim payout to shareholders.

Analysts on pay-TV group

Societe Generale remains bullish on Sky, having reiterated its ‘buy’ stance on the company last week, valuing the shares at 1,320p. Citigroup also reaffirmed the pay-TV group as a ‘buy,’ with a price target of 1,320p on the stock. According to MarketBeat, Sky currently has a consensus ‘buy’ rating and an average price target of 1,093.13p.

As of 07:59 GMT, Monday, 29 January, Sky Plc share price is 1,045.50p.

Top Equities Brokers

0 Brokers added for comparison:
Clear all