Wednesday, August 06, 2014

Wily Old Fox

So Murdoch has moved away from the Time Warner deal. Yeah, sure, like a fox moves away from the coop whilst the farmer is guarding over it with a shotgun. Trouble is the farmer is selling off the increasingly bandy old hens and the fence is looking rickety.. And that gun may not be loaded.

Count my words. He will be back.

Of course, the Time Warner board were right to point to the ridiculous Fox shareholding structure (which I believe should be illegal for a public company - one share, one vote), but all the pressure is now on them to return more value to their shareholders than they have achieved in the recent past.

What would happen if you flattened the Fox shareholding structure and made this more of am equitable merger rather than a fox raid ?