A severe attack of Malone Syndrome - characterized by recurring nervous twitches - has beset media giant News Corporation, causing it to extend for a further two years its 'poison pill' anti-takeover defense.
In a press statement Wednesday, NewsCorp explained that the move is intended to block "potential future acquisitions of significant amounts of NewsCorp voting stock by [John Malone's] Liberty Media International without consultation with the board."
According to NewsCorp, the anti-Malone maneuver will remain in place until the parties "reach a favorable resolution with respect to Liberty's ownership stake."
Last November, Liberty revealed it had built a voting stake in NewsCorp of nearly 18% - too close for the Murdoch family's comfort to the 29.5% holding through which it controls the company. But neither side has been able to agree what will be done with the potential Trojan Horse.
Says patriarch Murdoch: "[If Mr Malone] is a long-term investor, he's very, very welcome and if he wishes to sell, or come up with a scheme to distribute, we'll be very happy to cooperate in a friendly way. But until that is decided, we're keeping the stockholders [poison pill] plan in place."
Data sourced from Wall Street Journal Online; additional content by WARC staff
