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Murdoch wins fight for Dow Jones | |
(about 4 hours later) | |
Media tycoon Rupert Murdoch has won his battle to buy US media giant Dow Jones, publisher of the Wall Street Journal. | |
His News Corporation firm has secured the deal for $5.6bn (£2.7bn), or $60 a share - a 65% premium to Dow's share price before the bid was announced. | |
The agreement comes after Mr Murdoch received the required level of support from the Bancroft family, which hold the majority of Dow Jones' shares. | |
It ends the Bancroft's 100-year stewardship of the Dow Jones. | |
One of the members of the family, Leslie Hill, reportedly quit on Tuesday as a Dow Jones director as the final deal took shape. | |
But another Bancroft descendant, Crawford Hill, urged fellow family members to vote for a sale last week. | But another Bancroft descendant, Crawford Hill, urged fellow family members to vote for a sale last week. |
He said the family had not taken an active enough role in overseeing Dow Jones and was now "paying the price for our passivity over the past 25 years". | He said the family had not taken an active enough role in overseeing Dow Jones and was now "paying the price for our passivity over the past 25 years". |
Further takeovers | |
Dow Jones shares rose sharply on Tuesday on the back of hopes that a deal was close, moving closer to Mr Murdoch's offer price of $60 (£30) a share. | Dow Jones shares rose sharply on Tuesday on the back of hopes that a deal was close, moving closer to Mr Murdoch's offer price of $60 (£30) a share. |
The BBC's Duncan Kennedy, in Washington, says Mr Murdoch wants to use the WSJ to take on newspapers like the UK's Financial Times. | The BBC's Duncan Kennedy, in Washington, says Mr Murdoch wants to use the WSJ to take on newspapers like the UK's Financial Times. |
His News Corporation already owns 100 other newspapers worldwide, as well as television stations and film studios. | His News Corporation already owns 100 other newspapers worldwide, as well as television stations and film studios. |
Adding the WSJ, our correspondent says, will give Mr Murdoch further access to the top table of influential publications and, he hopes, the profits to match. | Adding the WSJ, our correspondent says, will give Mr Murdoch further access to the top table of influential publications and, he hopes, the profits to match. |