Government Gives Green Light to Sky Bids

Morningstar equity analysts believe that 21st Century Fox could now make a higher offer for the FTSE 100 broadcaster, potentially triggering a bidding war

Allan C. Nichols 5 June, 2018 | 6:48PM

sky telecoms merger acquisition tv television fox disney mobile europe stocks shares equities

The UK Culture Secretary Matt Hancock has today cleared the way for 21st Century Fox (FOX) and Comcast (CMCSA) to bid for FTSE 100 broadcaster Sky (SKY). He said that 21st Century Fox selling Sky News to Disney (DIS) would "be the most proportionate and effective remedy for the public interest concerns that have been identified”.

With this announcement Morningstar equity analysts expect Fox to raise its offer to at least close to Comcast’s offer of £12.50. The current Fox offer is for £10.75, below the current share price around £13.50.

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
Comcast Corp Class A42.32 USD0.07
Skyline Champion Corp28.31 USD-1.60
The Walt Disney Co128.87 USD0.99

About Author

Allan C. Nichols  Allan C. Nichols

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