21st Century Fox to de-list from the Australian Securities Exchange
Rupert Murdoch’s 21st Century Fox is set to be de-listed from the Australian Securities Exchange as it looks to “simplify the operating and capital structure” of the company.
In a statement to the ASX this afternoon chairman and CEO Murdoch said the move was being made in part because the company now has “limited operations in Australia” after the splitting off of lucrative TV and film assets last July to form 21st Century Fox from News Corporation.
Under that move former News Limited holdings, including local newspapers as well as The Australian, The Daily Telegraphy and Herald Sun, and Fox Sports, and its interest in Foxtel and REA Group all remained in the News Corp side of the business.
News Corp has issued a statement saying it is committed to its ASX listing, with chief executive Robert Thompson saying: “We are proud of our Australian provenance. More than 30 per cent of News Corp’s revenue was generated from Australia last year.
“I spent much of December in the country, speaking with some of our 9,000-plus employees and holding meetings to focus on our strategies for growth in the region.”
The move will see all ASX stockholders given the option to own company stock through the NASDAQ stock listing, and if approved by shareholders would be completed by “March or April”.
In its statement the company says it expects consolidating trading in one equity market to lead to “improved liquidity”, and simplify the capital structure by taking the number of stock pools from four, with Class A and B shares traded in Australia and the US, to two. It also cuts the amount of red tape the company has to deal with.
