Lachlan Murdoch, the son of media giant Rupert Murdoch, is said to be offering $2 billion+ AUD ($1.76 billion) today to acquire Consolidated Media Holdings, one of Australia’s largest media companies and part owners of key online properties.
According to The Australian, an announcement on the deal will be made to the Australian Securities Exchange later today.
Lachlan Murdoch walked away from his fathers corporation in 2005 and is believed to be making this bid independently of his father. Reports suggest that he’s partnered with James Packer, the son of the late Kerry Packer, the one time richest man in Australia (James is now second) and previous private owner of the assets, until they were floated, and broken up in the last 2 years.
The purchase will include a 25% stake in Foxtel (Australia’s leading pay/ cable TV company) and PBL Media (owners of the Channel 9 network), 50% of Fox Sports, 27% of Australia’s leading online jobs site Seek.com.au, a 50% stake in NineMSN (the Australian version of MSN) and a stake in Carsales.com.au.
The deal will be put to CMH shareholders later this year as part of a scheme of arrangement.
This is a father and son thing… why do the people have to suffer?!
This is going to be interesting, as this is one of the biggest media groupings in Australia, with a digital presence that is yet to fully reveal itself. Given Murdoch Junior wants to prove he can be a big media mogul on his own, it will be interesting to see how this develops.
Can anyone say “OneTel”? The last time these two rich kids decided to go into business together a lot (and I mean a lot!) of people got seriously screwed over.
That is one heck of a diversification should the deal go through, they own bits and parts of many of Australia’s biggest companies, this makes far more sense then investing ALL of it into just one company. Growth through diversification
Jon
http://woodmarvels.com – Create Unique Memories
Fox? Channel 9? They can be buying steam trains as well. Who cares about TV channels any more?
I read this article in the NY Times. “..the single best investment he has ever made.”
http://simongeo...googlepages.com
Duncan, no mention of one tel? Don’t you think it’s kinda important that the last time these two guys got together they bankrupt the company?
Also, it’ll be closer to 3billion than 2billion, but that’s not your fault that the TV is low balling the numbers.
Lachlan has always wanted a television network. He tried to persuade the previous government into granting him a 4th free to air license a while ago. I recently posted my views on this new acquisition and the convergence of media in Australia.
Welcome to 2008 fellow Internet users where anyone can buy out any media company they well damn like.
Father & Son single handily destroying free speech and open Internet.
- Dwayne Charrington.
http://www.dway...charrington.com