NEW YORK (TheStreet) -- The Church of England is joining a number of British Sky Broadcasting Group's rival news outlets in opposing News Corporation's (NWSA)bid to take over the U.K.-based pay TV operator.
News Corp. currently owns 39% of BSkyB and is looking to buy the remaining 61%. The BSkyB board rejected New Corp. CEO Rupert Murdoch's initial offer of 7.8 billion pounds, or about $12.4 billion at current exchange, which he made in June.
The deal's challengers are arguing that News Corp. and Murdoch may be gaining too much control of the British media.
Murdoch's company already owns four major U.K. newspapers, including the nation's largest publication, News of the World. By acquiring Sky, News Corp. would gain its 10 million customers, or close to 66% of pay TV subscribers in the U.K.In an official statement on the church's Web site, Bishop of Manchester Nigel McCulloch explained if News Corp. owned BSkyB it would control the three major TV news suppliers in the U.K., including BBC and Independent Television News. The acquisition would allow News Corp to "dominate both the television and media landscape," McCulloch said. "There would always be the potential for the exercise of subtle editorial influence, not least in the process of selecting which news items are to be covered and which left out." While he opposes the possible takeover, McCulloch said that if the deal goes through the company should provide the public "an assurance that the independence and editorial integrity of Sky News will be preserved." A few weeks ago U.K. Business Secretary Vince Cable ordered that the Office of Communications, the U.K. broadcast regulator, step in and investigate. Cable has requested that OFCOM complete a review by Dec. 31. The European Commission is also conducting a review of the possible deal to be completed by Dec. 8, unless the Commission decides to conduct a longer "phase II" investigation, which could take 125 additional days. -- Written by Theresa McCabe in Boston.
>To contact the writer of this article, click here: Theresa McCabe. >To follow the writer on Twitter, go to @TheresaMcCabe. >To submit a news tip, send an email to: email@example.com.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV