Broadcasting

Les Moonves is starting to endanger his record

18 May 2018

The CBS boss has done shareholders proud. Yet wading into what may be a long legal fight with controlling owner Shari Redstone serves no one. It also suggests a touch of hubris. The overpaid Moonves has it covered, though: If he’s fired, he could pocket more than $100 mln.

CBS, Shari Redstone litigate selves off M&A rails

17 May 2018

A judge denied the $20 bln media firm’s restraining-order request against its controlling shareholder. But CBS may be able to argue Redstone is breaching her fiduciary duty. It almost ensures a long legal drama that’ll shunt deals with Viacom or other companies onto the sidings.

Murdoch will be the winner once Fox movie is made

10 May 2018

The media mogul may soon have Comcast competing for parts of his empire. Disney would probably have to hike its $52 bln offer for Fox assets. His partial exit suggests he sees a dimmer future for cable TV. Even as the target, he’s one step ahead in the M&A game.

Sky upside depends on Disney-Fox irrationality

25 Apr 2018

Brian Roberts’ Comcast formalised a $31 bln bid for the UK group. Rival suitors Bob Iger and Rupert Murdoch, of Disney and Fox, will struggle to match the U.S. cable giant’s synergies. Sky investors betting on a counteroffer must hope the media moguls ditch financial logic.

Bolloréxit sums up Vivendi’s sub-par governance

19 Apr 2018

Vincent Bolloré stunned investors by abruptly handing the French media group’s chairmanship to his son. The 66-year-old Vivendi shareholder may well linger, muddying accountability for group strategy. Corporate governance issues are familiar, but this is still an eye-opener.

Busting EU sport cartel lines already fat pockets

11 Apr 2018

Antitrust authorities raided groups including Fox in a TV-sports cartel probe. Usually, such moves help consumers. But if the cartel had helped hold down inflated media rights, the main beneficiaries from its end would be already loaded teams and athletes.

Berlusconi scores point off Bolloré in mogul feud

3 Apr 2018

Shares in the former prime minister’s Mediaset TV group jumped after it agreed to collaborate with Sky’s Italian unit. An investor in Mediaset, Vincent Bolloré’s Vivendi will gain from the deal. But, as Berlusconi and Sky grow closer, Bolloré’s own ambitions risk being sidelined.

Disney and Fox open door to higher Sky bid

3 Apr 2018

The U.S. media giant may buy the UK group’s news business to ease regulatory concerns over merger partner Fox’s bid for the whole company. Given Disney probably has little interest in the loss-making channel, the tactic shows a readiness to fight off Comcast’s rival bid for Sky.

Disney CEO’s pay is a deal too far

8 Mar 2018

The media group’s shareholders voted against plans for Bob Iger’s pay. He made $36 mln for 2017 and will benefit if a $52 bln purchase of parts of Fox goes through. Iger’s job is to make deals work, not just make them, and the board’s is to ensure his presence isn’t “imperative.”

Disney’s Sky choices: bid, barter or back down

6 Mar 2018

Comcast’s swoop on the British broadcaster puts the U.S. group’s $52 bln tie-up with Rupert Murdoch’s Fox at risk. CEO Bob Iger can enter a bidding war he may lose, offer U.S. assets in exchange, or give up on Sky. The third option is most logical, but hard to sell to Murdoch.

McCall’s next job: show ITV has a future

28 Feb 2018

The former easyJet boss’ first earnings at the broadcaster were depressingly familiar. The terrestrial TV business is shrinking, and its online audience is barely making any money. A lower payout may irk investors, but makes space for critical investment in digital advertising.

Comcast’s $31 bln Sky bid spoils Disney-Fox party

27 Feb 2018

The U.S. cable group is offering 12.50 pounds per share in cash for the UK broadcaster controlled by Rupert Murdoch. That complicates the mogul’s plan to sell his entertainment assets to Disney boss Bob Iger. Murdoch must enter a bidding war for Sky or re-think the broader deal.

Disney Netflix-with-theme-parks recast looks scary

6 Feb 2018

The House of Mouse is set to assimilate $52 bln of Fox assets. CEO Bob Iger also needs to steady ESPN, deal with declining TV networks and potential "Star Wars" fatigue while spending billions on video-streaming products. The next several years will be a hair-raising ride.

Rupert Murdoch’s next foe: Sky hedge fund holdouts

25 Jan 2018

The tycoon’s Fox looks set to deflect regulators’ objections to his bid for UK TV group Sky. But hedge funds could block the deal. The deep pockets of Disney, soon to own Fox, and the hope that cheaper soccer rights will boost Sky’s profit may stir them to seek a higher price.

Hulu’s slimmed-down ownership adds complexity

27 Dec 2017

Disney will have a majority stake in the streaming service after absorbing Fox’s 30 pct share. A further 30 pct sits with Comcast, currently muzzled because of an antitrust deal struck with regulators. It’s likely one will end up owning Hulu outright – but not without a fight.

The Force could be with Disney-Fox deal

6 Dec 2017

The Magic Kingdom is eyeing parts of Rupert Murdoch’s $60 bln empire. Disney would add to its clout with global outlets and film and cable content. The Murdochs, meanwhile, may fancy shares in a bigger group. A tie-up could help with succession problems at both companies, too.

Mickey Mouse offers Sky investors an escape hatch

9 Nov 2017

Walt Disney has expressed interest in buying parts of Twenty-First Century Fox, including its 39 pct stake in the British TV group. That gives Sky shareholders another option if regulators block Fox’s 11.7 bln pound bid for full control. Disney may even be a more logical owner.

ProSieben is the worst show on a lousy channel

9 Nov 2017

The German broadcaster cut its full-year sales target and abandoned a TV-advertising forecast, sending shares down 11 percent. Management churn and an inability to predict the rate of its own decline makes the group more vulnerable than similarly-challenged European peers.

Comcast earns its peacock feathers

26 Oct 2017

The $170 bln U.S. media firm was early and careful expanding beyond cable pipes. Two examples are its purchase of NBC Universal and its recently launched wireless service. Comcast stock has trounced Verizon and AT&T. Brian Roberts’ company has even topped Disney’s market cap.

NFL fumble leaves broadcasters facing the penalty

25 Sep 2017

President Trump is attacking football players who don’t stand for the national anthem. But falling TV ratings are a deeper-seated problem for the sport. The likes of Disney and Fox that shelled out billions for the rights face pain. But CBS could be in for a major sack.