Nine and News Corp deal talks add to Foxtel intrigue
While a US private equity firm has already been named as a logical acquirer of Foxtel, there's rampant speculation a party much closer to home could also be interested.
News Corp chief executive Robert Thomson’s decision to hang a for sale sign above Foxtel has sparked rampant speculation in media circles about who exactly the "third party" interested in the pay TV provider is — and which dealmakers are angling for a piece of the action.
Thomson on Friday during News Corp's quarterly results briefing with analysts announced the company is "evaluating options for the business with our advisors" following an unsolicited approach for Foxtel and a broader review of its portfolio.
While prominent stockbroker Angus Aitken on Friday named US buyout fund Platinum Equity as a buyer that "makes the most sense", a much juicier suggestion doing the rounds is that a party much closer to home could be interested.
Senior market sources told Capital Brief that Nine Entertainment held exploratory talks with News Corp over a Foxtel deal that ended only months ago. It is not clear what form of deal was being discussed, but the talks ultimately collapsed over concerns about Nine's ability to fund any transaction, the sources said.
