Fox Star Sports Asia (formerly ESPN Star Sports)
In November 2012, the Company acquired the remaining 50% interest in ESPN Star Sports (“ESS”) that it did not already own for approximately $220 million, net of cash acquired. Accordingly, the results of ESS are included the Company’s consolidated results of operations beginning in November 2012. Subsequent to its acquisition, the Company rebranded the ESS channel group Fox Star Sports Asia.
Consolidated Media Holdings
In November 2012, the Company acquired Consolidated Media Holdings Ltd. (“CMH”), a media investment company that operates in Australia, for approximately $2.2 billion which consisted of cash of $2 billion and assumed debt of $235 million. CMH had a 25% interest in Foxtel and a 50% interest in FOX SPORTS Australia. The remaining 50% of Foxtel is owned by Telstra Corporation Limited, one of Australia’s leading telecommunications companies. The acquisition doubled the Company’s stakes in FOX SPORTS Australia and Foxtel to 100% and 50%, respectively. Accordingly, the results of FOX SPORTS Australia are included the Company’s consolidated results of operations beginning in November 2012. Prior to November 2012, the Company accounted for its investment in FOX SPORTS Australia under the equity method of accounting. The Company’s investment in Foxtel was and continues to be accounted for under the equity method of accounting.YES Network & Sports Time Ohio In December 2012, the Company acquired a 49% equity interest in the Yankees Entertainment and Sports Network (“YES”), a New York City-based RSN, for $584 million. In addition, simultaneous with the closing of this transaction, the Company paid approximately $250 million of upfront costs on behalf of YES. Under the purchase agreement, after three years, News Corporation may acquire an additional 31% stake in the YES Network that could bring its total ownership stake to 80%.