CMA To Examine Fox/Sky Deal's Impact On Media Plurality, Broadcasting Standards

Adjust Comment Print

"There's nothing wrong with Mr Murdoch - but it is because of the name".

Almost half of independent shareholders voted to oppose Mr Murdoch's reappointment amid concerns over his role as chief executive of 21st Century Fox, which is attempting to seize control of the 61% of Sky it does not already own in an £11.7 billion deal.

Ahead of the meeting some shareholders had said they were planning to oppose Murdoch's re-election because they did not believe he could effectively represent independent investors as he is also chief executive of Twenty-First Century Fox.

They claimed that, because Fox is now trying to buy full control of Sky, he could not be a completely independent chairman of the latter.

There was a larger vote, however, against Sky's remuneration report. The vote is non-binding.

Mr Murdoch is chief executive of Fox, which is attempting to seize control of the 61% of Sky it does not already own.

Observers said that the result meant that slightly more than 50 percent of independent shareholders backed Murdoch, 44, this year, compared with last year when slightly more than 50 percent had not supported him. "Fox is getting a sweetheart deal out of this and mainly I think it's because of the lack of independence on the board".

More news: Russia Protests Flag Removal at Seized San Francisco Consulate
More news: 'Breaking Bad' house owners put up fence to stop pizza throwing
More news: McDonald's Szechuan sauce promotion event a blunder

Sky, which is now the subject of a full takeover bid by Rupert Murdoch's 21st Century Fox, said it made a strong start to its new year, with an improvement in revenue and new customer numbers.

Sky confirmed in its annual report last month that chief executive Jeremy Darroch's total annual pay packet more than trebled to £16.3m (€18.1m) a year ago despite annual profits being hit by the cost of broadcasting live Premier League football.

Competition and Markets Authority or CMA announced Tuesday, regarding its investigation into the proposed takeover of Sky Plc by 21st Century Fox, that it will now examine how the deal would impact media plurality and broadcasting standards in the UK.

Gilbert's comment was a reference to allegations of sexual and racial harassment at Fox News.

He told shareholders he was "pretty confident" that this would not have an effect on the CMA's investigation.

When asked by the culture, media and sport select committee about how the decision was reached White said that a thorough review had been carried out adding "We did not find a particular concern that would have caused us to believe that Sky News in particular and Sky as a broadcaster, post-transaction, would not be a fit and proper broadcaster", adding that Sky "currently has a very strong record of compliance on broadcasting". It reported that the first series of home-grown drama Riviera achieved 20 million downloads, becoming its highest ever rated Original commission and Game of Thrones became the most watched series ever on Sky. It is also launching its loyalty programme in Germany & Austria in the second half of the financial year, building on the success of the scheme in Italy and the good start to Sky VIP in the UK.

Comments