Tuesday 25 September 2018 10:31 am

Comcast has built up a 30 per cent Sky stake following its auction showdown with Fox on Saturday


Reporter at City A.M. covering marketing, media, telecommunications and pensions.

Reporter at City A.M. covering marketing, media, telecommunications and pensions.

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  US media titan Comcast this morning confirmed it had bought 30 per cent of shares in British broadcaster Sky so far after winning a dramatic auction for the company against 21st Century Fox on Saturday. 

In a note to the market, it confirmed it had purchased 515,885,170 shares at its improved offer price of £17.28 per share.

Sky investors have until 11 October to accept Comcast's bid, which it tabled when it beat Rupert Murdoch's Fox at the highly unusual auction this weekend. Sky's Independent Committee has already declared Comcast's offer as "materially superior" and strongly advised its investors to accept it immediately. 

Read more: Sky share price flies after Comcast’s £30bn takeover offer

Fox improved its £14 per share offer to £15.67, but it was not enough to beat Comcast's bid, which values Sky at over £30bn. 

It spoiled the party for Murdoch and Fox, which was looking to acquire the 61 per cent stake of Sky it does not already own. It's still unclear what Disney, which now owns Fox's media assets including its Sky stake, will do with its holdings in the British media company.

Sky shares jumped over seven per cent on Monday after news of Comcast's acquisition. Shares are now trading around £17.27, just below Comcast's offer. 

Read more: Comcast secures victory over Fox to buy Sky for £30.6bn

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