The Scotsman

Sky may be beyond the limit for regulators on Fox offer

Comment Martin Flanagan

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If Rupert Murdoch is going to eventually take full control of Sky, it seems that he is going to have to take the scenic route.

Six years ago Murdoch abandoned an attempt to acquire the satellite broadcaste­r through his News Corporatio­n subsidiary amid political concerns about media plurality and News Corp being tarnished by the phone-hacking scandal. The media magnate has revived the bid through his 21st Century Fox business, but Culture Secretary Karen Bradley now says she is “minded” to refer it to the Competitio­n and Markets Authority on those same concerns about media plurality.

Bradley’s stance follows a report yesterday from industry regulator Ofcom. It found that the Sky2 bid risked handing the Murdoch family “increased influence” over the UK’S news agenda and body politic in general.

Ofcom told the Secretary of State that the new takeover attempt for the 61 per cent of Sky that 21st Century Fox does not currently own raised “public interest concerns”, including “the perception of increased influence”.

Fox and Sky, whose other shareholde­rs have agreed to the £11.7 billion offer, have until 14 July to make representa­tions to Bradley before she reaches a final decision.

Second prize for Murdoch – particular­ly with the sexual and racial harassment allegation­s dogging Fox – is that Ofcom has said the proposed takeover would not stop Sky from holding a broadcasti­ng licence. The Culture Secretary has also said that she is “not minded” to refer the bid to a phase two probe in relation to a “genuine commitment to broadcasti­ng standards”.

This is sort of implying that Murdoch’s businesses have cleaned up their act and improved standards, and that media plurality is the single big hurdle.

Game on again, but the pendulum seems to have shifted away a bit more from the tycoon. l Greene King is not taking over the pubs world. It just sometimes seems that way since its game-changing acquisitio­n of rival Spirit Group two years ago. Profits up, like-for-like sales up, dividend up and £35 million of synergies achieved as the Spirit acquisitio­n is integrated a year ahead of schedule.

GK now has a formidably well-balanced “wet” and pub restaurant offering. The shares are a buy.

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