News Corp bids $2B for ConsMedia

Company News

Rupert Murdoch’s News Corp (ASX:NWS, NASDAQ:NWSA) has bid about $2 billion to acquire Consolidated Media Holdings Limited (ASX:CMJ).

News Corp’s conditional and non-binding proposal consists of $3.50 cash per Consolidated Media share, a 14 per cent premium to its last closing price. 

Consolidated Media’s 50 per cent-shareholder and Executive Chairman James Packer has welcomed the proposal and described the offer price as fair.

The deal is still subject to a number of conditions including board and regulatory approvals and any possible transaction is unlikely to be completed until the end of this year.

Reports have also speculated today that News Corp is also close to announcing an overhaul of its publishing operations in addition to its acquisition of business website Business Spectator and newsletter Eureka Report for more than $22 million.

In the first half of the 2012 financial year News Corp posted a net profit of $1.9 billion.

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