Comcast fires new salvo in £26bn battle for Sky

Comcast fires new salvo in £26bn battle for Sky

Comcast fires new salvo in £26bn battle for Sky

Comcast and Walt Disney (DIS.N) are locked in a separate $70 billion-plus battle to buy most of Fox's assets, which would include Sky, and Disney is backing Murdoch in his pursuit of the British company.

Rupert Murdoch's 21st Century Fox has increased its offer for the Britain-based Sky television service to $32.5 billion amid the company's bidding war with Comcast.

Jeff Wlodarczak at Pivotal Research Group said Comcast may succeed in winning Sky but lose out on Fox to Disney.

A successful acquisition of Sky would extend Comcast's reach Europe. It is now three weeks since Disney upped its bid for the Fox assets and Comcast still hasn't responded.

In the USA, it has been in a separate bidding war with Comcast - the nation's largest cable TV provider - to buy 21st Century Fox's film and TV studios.

Now it's up to Comcast (cmcsa) to decide how much Sky is worth.

The Sky logo is seen on outside of an entrance to offices and studios in west London, Britain June 29, 2017.

Unfortunately, Fox's troubles are not over yet as a shareholder Robert Weiss has initiated a lawsuit in order to prevent the deal from going ahead, according to the Hollywood Reporter. Sky's shares closed at £15.01 on Tuesday, suggesting shareholders think the battle is not over.

Sky has been thrust into the centre of a global tussle between media giants Disney and Comcast as they lead a fightback against the might of Amazon and Netflix.

Hedge funds including Elliott have bought into Sky in recent months and other vocal shareholders such as Crispin Odey have demanded that the independent directors secure a better deal.

The Government has already separately cleared Comcast's bid for Sky. Analysts said it was not a knock-out, and Fox did not say it was its final offer.

At the same time, U.K. Secretary of State Jeremy Wright gave Fox the OK on its Sky deal, provided the company divests Sky News to either Disney or another company. News Corp., which is controlled by the Murdochs, withdrew its bid for Sky soon after.

"There are enough sub-plots in the race to acquire Sky to commission a primetime drama", Salmon said.

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