Rupert Murdoch cancels proposed Fox-News Corp merger

Rupert Murdoch, chairman of News Corp and co-chairman of 21st Century Fox, arrives at the Sun Valley Resort for the Allen & Company Sun Valley Conference, July 10, 2018 in Sun Valley, Idaho.

Drew Anger | Getty Images

Rupert Murdoch has withdrawn the proposal to recombine Fox Corporation and press company.

Fox said Tuesday that its board received a letter from Murdoch, its chairman, and his son Lachlan Murdoch that “determined that a combination is not optimal for shareholders” of either other companies at the time.

The potential merger had faced opposition from shareholders in recent months, who did not believe a merger would show News Corp’s true value. if it merged with Fox.

A Fox spokesperson did not immediately respond to the comment.

In October, the companies said they had formed a special committee to review the deal.

A combination of the two companies would have unified leadership in Murdoch’s empire and reduce costs. News Corp. owns the Wall Street Journal publisher, Dow Jones. Fox, with what was left of Twenty-First Century Fox’s $71.3 billion sale to Disney in 2019, owns the right-wing networks Fox News and Fox Business, which is a competitor to CNBC.

This is breaking news. Please check for updates.

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