News Corp to buy in China
NEWS Corp said yesterday it has agreed to buy a 19.9 per cent stake in Bona Film Group, a Chinese film production and distribution company.
The financials of the deal were not disclosed, although a market cap of $363m (£225.5m) points at a price under $70m. Murdoch’s conglomerate will acquire the stake directly from Bona’s founder and boss, Dong Yu.
News Corp said the rapid growing pace of China’s film market makes Bona an attractive investment.
Box office revenue in China jumped 28.6 per cent to 13.1bn yuan (£1.29bn) last year. Bona shares, listed on Nasdaq, jumped almost 15 per cent in morning trading yesterday.