NewsCorp Reveals Alternative US Stock Listing Strategy

20 September 2004

In a bid to sidestep a possible shareholder block to its proposed move to the US, media company News Corporation has prepared a Plan B.

Although Rupert Murdoch's company is still hopeful of a favourable vote from Australian shareholders on plans to move the headquarters from Adelaide to Delaware and list on the New York stock exchange, many investors have expressed their discontent with the proposals.

They claim that the reincorporation would force shareholders to sell stock in the company after it withdraws from the Sydney stock exchange.

But NewsCorp is expected to press ahead even with the disapproval of half of its investors. If its powers of persuasion fail to sway the shareholders prior to the vote next month, it will explore the possibility of creating a new US holding company, or two new companies, one American, the other Australian.

These would hold assets such as News International newspapers, Fox Entertainment and BSkyB.

The vote will be held on October 26.

Data sourced from:; additional content by WARC staff