ConsMedia moves closer to News deal
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SYDNEY, Aug 21 AAP
August 21 2012, 09:45AM
Consolidated Media Holdings (CMH) says it expects to sign a deed relating to a $2 billion takeover deal with Rupert Murdoch's News Ltd within six weeks.
The media company, which holds a 25 per cent stake in pay TV provider Foxtel and half of Fox Sports, made the comments as it unveiled a fall in full year net profit.
CMH said a number of pre-conditions to the deal remained outstanding, including the finalisation of due diligence and approvals from the board of News Corporation and the Foreign Investment Review Board (FIRB).
"CMH presently expects that these pre-conditions will be satisfied and the scheme implementation deed will be finally negotiated and signed during the next six weeks, which will allow for completion of the indicative proposal, subject to shareholder and court approvals and any other remaining conditions, in the final quarter of calendar 2012," CMH said in a statement on Tuesday.
"However, CMH is not in a position to give any assurance either that the scheme implementation deed will be finally agreed and signed or that the indicative proposal will proceed."
The comments come after the Australian Competition and Consumer Commission (ACCC) on August 2 approved the takeover.
The deal would enable Mr Murdoch to take control of CMH's 25 per cent stake in pay TV provider Foxtel and its half of Fox Sports.
News already owns 25 per cent of Foxtel and half of Fox Sports.