Lachlan Murdoch, James Packer in $2.8 Billion Venture

SYDNEY, January 21:
Lachlan Murdoch and James Packer have teamed for an A$3.3 billion ($2.8
billion) offer to buy out Consolidated Media Holdings (CMH), which owns a
25-percent stake in Australian pay-TV platform FOXTEL, marking Murdoch’s first
big media deal since leaving News Corporation in 2005.

CMH was formed in November
2007 following the split of PBL into two publicly listed companies: Crown,
focused on gaming, and CMH, focused on various media assets. CMH’s assets
include 25 percent of FOXTEL; 50 percent of The Premier Media Group, producer
of the sports channels Fox Sports 1, 2 and 3; 26.9 percent of the online
employment business SEEK; and
25 percent of PBL Media, comprising ACP Magazines, the Nine Network, NBN,
Ticketek, Acer Arena, a 33.33 percent interest in Sky News, a 50 percent
interest in ninemsn, a majority shareholding in carsales and a 48.75 percent
interest in myhome.com.au.

CMH says it has received
an offer from Lachlan Murdoch’s private company, Illyria and CMH’s majority
shareholder, Consolidated Press Holdings Limited (Conspress), of which James
Packer is executive deputy chairman. Illyria and Conspress will each hold 50
percent of CMH.

—By Mansha Daswani