London — Advisers to Sky’s board are warning that if the government blocks 21st Century Fox’s takeover, the British satellite carrier will not be able to count on a bid from Walt Disney, according to a person familiar with the matter. Fox is expecting a British government decision by June on its $15.7bn offer for full control of Sky. If it is rejected, Fox would retain its 39% stake in Sky, which Disney would acquire in a deal expected to close by the end of 2018. That transaction probably would not trigger a mandatory requirement for Disney to bid for the rest of Sky, bankers and lawyers have told Sky’s independent directors, according to the person. The opinion matches that held by Disney, which wants to absorb Sky as part of its $57.4bn purchase of Fox assets. Disney is also getting a movie and TV production house and a line-up of pay-TV channels in that transaction and has assumed Fox will get full control of Sky before transferring it to Disney. If it does not, Disney makes no ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.