News Corp given green light to buy BSkyB
http://www.bbc.co.uk/news/business-12631875
Quote:
Rupert Murdoch's News Corporation has been given government approval for its controversial takeover of BSkyB.
The green light follows News Corp's offer to spin off Sky News as an independent company.
The decision follows concerns about the concentration of media outlets in the hands of one organisation.
Rival UK media groups dismissed News Corp's offer as a "whitewash" and said they would "vigorously contest" the takeover.
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---------- Post added at 13:09 ---------- Previous post was at 13:05 ----------
Quote:
The new structure for Sky News will be as follows:
• Sky News will be spun off as an independent UK public limited company with its shares publicly traded;
• Shares in the new company will be distributed to shareholders of BSkyB in the same proportions as their shareholding in BSkyB. As a result, News Corporation would retain the same shareholding in Sky News as it currently holds in BSkyB – a 39% economic interest and 37% voting interest;
• BSkyB will provide a 10-year carriage agreement which will give the new company a substantial long-term revenue stream;
• BSkyB will license the Sky News brand to the new company and will also provide facilities and support services "on arms-length terms";
The governance structure of the new company, Newco, will include:
• A board with a majority of independent non-executive directors;
• An independent non-executive chairman;
• A commitment to the principle of editorial independence and integrity that will be enshrined in the articles of association;
• Approval by the board of the hiring and firing of the editor of Sky News;
• A corporate governance and editorial committee, including an independent board member with senior editorial and/or journalistic experience, which will be responsible for overseeing compliance and advising the board on provisions relating to editorial independence
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http://www.guardian.co.uk/media/2011...-corp-sky-news