News Corp stocks rise according to the sale of Foxtel Group
This sales will help media companies to focus on growth pillars.
News joint. NASDAQ (NWS), founded by Rupert Murdoch, sold Foxtel Group, an Australian cable television provider, to Dazn Group, a sports streaming network.
As part of a $ 3.4 billion contract, $ 550 million in shareholder loans was repaid to News CORP. In addition, NEWS Corp has received 6%of a minority capital for Dazn, and Andrew Cramer will join the Dazn Board of Directors.
Robert Thomson, CEO of News Corp, said, “The successful change in becoming a sports and entertainment provider of Foxtel is the result of the team’s toughness, creativity and expertise. Foxtel staff should be proud of the success in a very competitive content contest. I am confident that Dazn is ready to pursue the next step of Foxtel’s growth, and I am pleased to be a partner and shareholder of Dazn. And we are happy to have additional capital strengths and options. “
News Corp shares rose to $ 30.60 per share, up 1% per share. Every year, stocks have been flat and have increased by about 15% over the last 12 months.
News Corp Stock has a strong record of five years.
NEWS CORP has a good return of 28.7%over the last five years.
The company includes a variety of newspapers including Harper Collins, RealTor.com, The Wall Street Journal, Dow Jones, Barron ‘S, New York Post, Times (UK), Daily Telegraph and Australian I own a media properties. In 2013, I rotated FOX News.
The company said that the sale of Foxtel can concentrate more resources on growth pillars, including Digital Real Estate, Dow Jones and Book Publishing. It also helps to improve the company’s balance table.
“Foxtel’s sales are important to NEWS CORPs,” said Lavanya Changrashekar, the chief financial officer of News Corp. “We will also focus on the core growth pillars that account for more than 95 % of the total EBITDA in the second quarter of the company’s accounting.” It is necessary to reduce strength and improve investment capital revenue. We expect disposal to be suitable for income per week. “
Analysts are optimistic about stocks because they have an intermediate price target of $ 37.50. This will increase 39% over the next 12 months. The P/E ratio is 40.
