Nine And News At Loggerheads As The Future Looks Grim At Sky: Reports

Nine And News At Loggerheads As The Future Looks Grim At Sky: Reports

Nine Entertainment Co. is reportedly holding onto its third of Australian News Channel, Sky News’ parent company.

B&T Magazine
Posted by B&T Magazine

The Sydney Morning Herald is this morning reporting the Nine wants to maintain its share after offers from News Corp to but it out.

Sky News also has a deal with Foxtel – which is part owned by News Corp. The deal reportedly ends at the end of 2017. The SMH suggests Foxtel will let its contract expire, and then News Corp will launch its own news channel.

“However, it is understood that there are no active discussions at News Corp about launching its own news channel at present,” writes SMH’s Dominic White.

“The ANC joint venture now has to negotiate with Foxtel’s new chief executive Peter Tonagh, who was previously leading negotiations to buy Nine’s stake in ANC in his former role as chief executive of News Corp Australia.

“As the end date of the contract approaches the value of the business is diminishing, which had given all sides an incentive to discuss whether to continue investing in the business or sell out.”

Australian News Channel is a three-way joint venture between Nine Entertainment Co. (33.3 per cent), Seven West Media and British Sky Broadcasting.

Read the full article here.