21st Century Fox has increased its offering price for the shares in Sky it does not already own, topping the rival bid by Comcast Corporation.
Fox is offering £14 per Sky share, an increase of 30 percent on the original £10.75 price and an increase of 12 percent on Comcast’s £12.50 offer. The transaction is expected to be approved by the U.K. Secretary of State this month following Fox’s pledge to offload Sky News and other conditions related to the news outfit.
“As the founding shareholder of Sky, we have remained deeply committed to bringing these two organizations together to create a world-class business positioned to deliver the very best entertainment experiences well into the future,” Fox said in a statement. “We strongly believe that a combined 21CF and Sky will be a powerful driver for the continued growth and vibrancy of the U.K. and broader global creative industries. The enhanced scale and capabilities of the combination will enrich Sky’s ability to continue on its mission for years to come, especially at a time of dynamic change in our industry. This transformative transaction will position Sky so that it can continue to compete within an environment that now includes some of the largest companies in the world, but none of whom have demonstrated the same local depth of investment and commitment to the U.K. and to Europe. We said when we announced our proposed acquisition of Sky that we were firmly committed to U.K.’s creative industries and the contribution they make to the U.K. economy. We remain committed to the U.K. and believe that our offer for Sky will bring the best value for all the company’s stakeholders and are delighted that the Independent Board of Sky has recommended our offer to its shareholders.”