July 6th, 2007
Rupe ready to close Dow Jones deal?
The Business, citing “sources acting for the Dow Jones board, is reporting that News Corp and Rupert Murdoch have sealed the purchase of Dow Jones.
Here’s what The Business is reporting:
Negotiations have been completed and the board is confident the terms of the deal will be accepted by the Bancroft family, which controls a majority of voting shares in Dow Jones, over the next few days. A formal announcement is expected next week.
Murdoch’s News Corporation will take over America’s most prestigious financial publisher at the price he originally offered on April 17, when he proposed $60 a share when the stock was trading at $36, a 67% premium.
After lengthy talks involving many lawyers, the deal includes a legally-enforceable agreement with Murdoch which will supposedly guarantee the integrity and independence of the Wall Street Journal’s journalism.
Dow Jones disputed The Business report saying that no deal has been struck.
For those that haven’t been keeping track of this deal. The short version goes like this: Murdoch offered $60 a share for Dow Jones in an offer no one would match. Murdoch plans to squash CNBC with the Wall Street Journal’s content. And Murdoch will also get to play with Dow Jones’ financial Web properties–MarketWatch, Barrons.com and WSJ.com.
As an impartial observer, I wish these two parties would just merge already. No one wants Dow Jones at $60 a share and the back and forth is getting tired.
Larry Dignan is Editor in Chief of ZDNet and Smart Planet as well as Editorial Director of ZDNet sister site TechRepublic. See his full profile and disclosure of his industry affiliations.
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