13 Jul, 2011

News Corp withdraws bid for BSkyB

Rupert Murdoch’s News Corporation is dropping its bid to take full ownership of satellite broadcaster BSkyB.

The move follows a scandal over phone hacking by its UK newspaper group.

News Corp chairman Chase Carey said the bid had become ‘too difficult to progress in this climate’, according to the BBC.

In a statement, News Corp deputy chairman and president Chase Carey said: “We believed that the proposed acquisition of BSkyB by News Corporation would benefit both companies, but it has become clear that it is too difficult to progress in this climate.”

“News Corporation remains a committed long-term shareholder in BSkyB. We are proud of the success it has achieved and our contribution to it,” Carey added.

Reactions from the Government include, a comment from a  spokesman for Prime Minister David Cameron, saying: “As the prime minister has said, the business should focus on clearing up the mess and getting its own house in order.”

In addition, the Labour leader, Ed Miliband, has said it is ‘a victory for people up and down this country who have been appalled by the revelations of the phone hacking scandal and the failure of News International to take responsibility’.

About the author

Related Posts

Leave a reply