Dow Jones board takes lead on News Corp talks
Dow Jones's board will take over negotiations from the company's controlling family regarding a $5 billion offer from News Corp.india Updated: Jun 21, 2007 12:28 IST
Dow Jones & Co Inc's board will take over negotiations from the company's controlling family regarding a $5 billion offer from Rupert Murdoch's News Corp, Dow Jones said on Wednesday.
Dow Jones said its board will evaluate all proposals as well as remaining independent.
The decision could bring a quicker resolution to negotiations with Murdoch after the Bancroft family developed rifts over whether to accept his offer, a source familiar with the matter said.
Members of the Bancroft family, which controls 64 per cent of Dow Jones' voting shares, met Murdoch earlier this month to discuss his unsolicited $60 per share offer for the company.
The family has said it would consider other offers as well, though no concrete rival bids have emerged.
Some members of the family oppose Murdoch's bid out of concern for the editorial independence of its news operations, including The Wall Street Journal, Barron's and Dow Jones Newswires.
Separately, Internet investor Brad Greenspan said on Wednesday he had offered to buy a stake in Dow Jones at $60 per share in what he described as a partial buyout.
Greenspan is the founder of MySpace parent Intermix Media, which was bought by News Corp in 2005. Greenspan left Intermix in 2003 amid an informal US Securities and Exchange Commission inquiry and accounting restatements.
Later he became known as an outspoken critic of News Corp's purchase of the company, saying the deal defrauded shareholders. A Los Angeles judge rejected his legal challenge in late 2006.
Dow Jones shares fell to $60.13 in after-hours trading after closing at $60.65, up $1.90 on the New York Stock Exchange.
First Published: Jun 21, 2007 12:25 IST