Proactive Investors - Run By Investors For Investors

Comcast extends offer period for Sky amid bidding war with Fox

The offer period for Comcast's bid to buy Sky will now remain open for acceptances until September 12
Sky shareholders seem to be holding out for a better offer

Comcast Corp. (NASDAQ:CMCSA) has extended the acceptance period for its £25.9bn cash offer for Sky PLC (LON:SKY) after receiving a low level of acceptance from the British broadcaster's shareholders.

Comcast received valid acceptances for shares representing just 0.21% of Sky as shareholders hold out for a better deal amid a bidding war with 21st Century Fox’s (NASDAQ:FOXA) for the broadcaster. 

The offer period for Comcast's £14.75 per share bid to buy 61% of Sky will now remain open for acceptances until September 12.

Comcast, which owns NBCUniversal, gatecrashed Fox's attempt to buy Sky earlier this year.

READ: 21st Century Fox posts formal offer document for Sky takeover bid

Sky’s board had originally backed Fox’s offer of £14.0 per share but withdrew its support after Comcast increased its bid in July.

For the Fox offer, which values Sky at £24.5bn, Sky shareholders have until September 17 to accept.

Rupert Murdoch’s Fox has until September 22 to revise its current offer for Sky, which represents a 5% discount to Comcast's current offer.

Fox first launched its bid to buy the rest of the share in Sky it does not already own in December 2016 but the acquisition was held up by UK regulators over concerns about giving the Murdoch family too much power and influence over British media.

Comcast confirmed a takeover proposal for Sky in April.

Separately, Fox has agreed to sell its entertainment assets to Walt Disney Co (NYSE:DIS) for US$71bn. Comcast had tabled a US$65bn deal to buy Fox in June but pulled out of competing with Disney a month later to focus its efforts on buying Sky. 

View full SKY profile View Profile

Sky Plc Timeline

Related Articles

October 16 2018
It comes after a solid 12 months for the company, which has transformed itself into an omni-channel marketing automation platform with last year’s acquisition of Comapi
December 19 2018
Interim profits showed a modest recovery with the number of contracts signed rising to 77 from 74 a year earlier
Throne of Glass
October 23 2018
Rowling, Rowling, Rowling ... keep those titles rolling. Mind you, it's not all about Ms Rowling; Sarah J Maas title revenues grew 47% in the first half of the financial year and dieters are gorging on Tom Kerridge's books

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use