News Corp Investor Urges Murdoch to Sell Newspaper Business
The third largest investor at News Corp has urged media mogul and owner Rupert Murdoch to sell all newspaper business, which would allow the company to double the size of its buy-back plan.
Invesco, the third largest investor at News Corp., urged media mogul Rupert Murdoch to sell all newspaper business, which would allow the company to double the size of its buy-back plan.
Kevin Holt, Invesco senior fund manager, told the Sunday Telegraph that the newspaper business is already obsolete and that News Corp. would have better use for the dying industry if it would put it on sale.
"I'd like for them to sell all the newspaper businesses. It's a digital world now and the competitive advantage that newspapers had has been competed away," Holt said.
Investor is News Corp's biggest institutional shareholder, currently holding 1.8 percent of the company's shares.
Murdoch, who has been under constant pressure from angry investors, was able to deflect yet another attempt to remove him as the chairman of the media empire.
On Friday, the 80-year-old executive survived a no-confidence vote, while at the same time managing to get his sons James and Lachlan reelected as News Corp directors during the company's annual stockholders' meeting.
Sought for comment, Invesco refused to state how it casted its votes on the reelection of Murdoch and the board of directors, who has been heavily criticized following the phone-hacking scandal of its British newspaper The News of the World.
News Corp empire includes Fox broadcast network, a stable of cable channels, the 20th Century Fox film studio and a host of other assets across the globe including a 39 percent stake in British media group BSkyB.