Learning English - Words in the News
03 May, 2007 - Published 14:47 GMT
Murdoch's Dow Jones bid
Shares in the Dow Jones publishing group have risen sharply following a takeover bid by Rupert Murdoch's News Corporation. But the controlling shareholders of Dow Jones said they would vote against it. This report from Jeremy Cooke:
Dow Jones is among the world's biggest news companies, controlling a stable of titles including the Wall Street Journal, Marketwatch and the Dow Jones wire service. Now the company has confirmed that it has received a takeover offer from News Corporation which values Dow Jones at some five billion dollars.
After news of Rupert Murdoch's ambitious move, the company's share value rose rapidly, opening at 37 dollars and 12 cents and going up to 57 dollars and 28 cents before trading was halted by the New York Stock Exchange. Analysts say that News Corporation clearly believes it can merge Dow Jones with its own media operations - and significantly cut costs in the process.
Dow Jones has confirmed the offer has been made, and that the Bancroft family which has a controlling interest is actively considering the deal. But the company is also stressing that this does not necessarily mean it will agree to sell to Mr Murdoch. And it is expected that other interested parties may launch counter bids which could yet frustrate News Corporation's plans.
Jeremy Cooke, BBC News, New York
a stable of titles
trading was halted
a controlling interest
considering the deal