Sky share price: Fox still expects takeover approval

Murdoch-controlled group working with authorities to resolve concerns

Sky share price: Fox still expects takeover approval

Twenty-first Century Fox continues to expect to receive UK approval of its takeover of Sky (LON:SKY), the BBC has reported. The news comes after the Rupert Murdoch-controlled company suffered a setback earlier this year, with the UK competition watchdog ruling that the deal was not in the public interest.

Sky’s share price has been steady in London in today’s session, having inched 0.14 percent higher to 1,050.50p as of 09:09 GMT, outperforming the broader UK market, with the benchmark FTSE 100 index having fallen into negative territory and currently standing 0.43 percent lower at 7,247.92 points. The group’s shares have added more than six percent to their value over the past year, as compared with less than a one-percent rise in the Footsie.

Fox still expects Sky deal

The BBC reported yesterday that Fox’s chief executive James Murdoch had said that the group was working with UK authorities to resolve concerns over the Sky deal. Earlier this year, the Competition and Markets Authority ruled that “if the deal went ahead, as currently proposed, it is likely to operate against the public interest”.

The watchdog also set out a series of potential options, including insulating Sky News from Murdoch Family Trust as well as blocking the deal outright.

Engaging ‘constructively’

“We’ll continue to engage constructively [...] to address their concerns ahead of their May first final report,” Murdoch said, as quoted by the BBC, on a call with financial analysts to discuss the US firm’s quarterly earnings, adding that Fox continued to expect the deal to be approved by the end of June.

Sky meanwhile updated investors on its half-year performance last month, revealing a rise in revenues and earnings and hiking its interim payout to shareholders.

As of 09:33 GMT, Thursday, 08 February, Sky Plc share price is 1,050.00p.

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