Go Back   Eurocardsharing > General Discussions > General Satellite News > Latest Satellite News

Latest Satellite News Discussion, Update Stokes and Packer, head-to-head at General Satellite News forum; Stokes and Packer, head-to-head Rose Major Australian pay-TV platform Foxtel is shaping up as the latest prize in the countrys ...

LinkBack Thread Tools Display Modes
Update Stokes and Packer, head-to-head
Bacteria's Avatar
Posts: 96,016

Level: 124 [♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥]
Life: 4638 / 4638
Magic: 32005 / 90548
Experience: 68%

Thanks: 1,107
Thanked 5,577 Times in 1,419 Posts
Join Date: Oct 2006
Age: 35
Thumbs up Update Stokes and Packer, head-to-head - 13-July-2009, 12:50

Stokes and Packer, head-to-head

Rose Major

Australian pay-TV platform Foxtel is shaping up as the latest prize in the countrys long-running Packer v Stokes soap opera. Kerry Stokes Seven Network on Friday confirmed it had lifted its stake in the James Packer-controlled Consolidated Media Holdings, which owns stakes in Foxtel and other Australian pay-TV businesses, to 18%.

Two series of share acquisitions were staged last week, with A$180 million paid on Wednesday to lift Sevens stake from juts under 5% to over 15%. A further trade later in the week saw Seven pay out another A$40 million, ending the week with an 18% stake in the media holding company.

But Packer himself, through his privately-held Consolidated Press Holdings, then purchased shares worth A$25 million, raising his stake from 38.3% to 39.3%. That buy was clearly intended to send a message to Stokes over who was in charge.

Seven is reportedly mulling a full hostile takeover for ConsMedia, which owns 25% of Foxtel (News Corp owns 25% and Telstra the remaining 50%) and 50% of Premier Media Group, which operates the Fox Sports network of channels, among others. After selling its stake in Seven Media Group, which actually operates Australian network Seven, Seven Network still has some A$1.4 billion of cash left.

But whether a full takeover will happen is unclear. Most observers see Stokes move as insurance for Seven, which is positioning its fingers in as many media pies as possible. The ConsMedia stake gives Seven a seat at the Foxtel table. Telstra could be forced to sell its stake in Foxtel in the future, and Stokes has been keen for years to get into pay-TV. Sevens C7 pay-TV sports channel failed back at the beginning of the decade but recent litigation showed that the sector is still attractive to Seven.

Stokes will also now have a say should Packer decide to divest all of his familys remaining media assets (the former Crown Jewel, free-to-air Nine Network, was sold off to private equity back in 2007).

And of course Stokes acquisition will have another side effect annoying both Packer and Rupert Murdoch.

Reply With Quote


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Forum Jump

ECS on RSS ECS on Twitter ECS on Facebook ECS on Youtube
Follow us on:

Powered by vBulletin
Copyright 2002 - 2010, Jelsoft Enterprises Ltd.
SEO by vBSEO ©2011, Crawlability, Inc.