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NEW YORK - Rupert Murdoch's News Corp has reached a tentative deal to buy Dow Jones for US$5 billion ($6.3 billion), though its controlling Bancroft family remains divided, the Wall Street Journal has reported.
Negotiators from News Corp and Dow Jones - including chief executive Richard Zannino, company advisers and two independent directors - agreed yesterday on a price of US$60 a share, which was what News Corp offered in mid-April, the newspaper reported on its website.
The deal will be put to the full Dow Jones board today.
Representatives for the Bancrofts and News Corp, owner of Fox News, the New York Post and a sprawling global media empire, declined to comment. Dow Jones could not be reached for comment.
The Wall Street Journal said Zannino indicated that the Bancroft family's position was too close to call.
Michael B. Elefante, the family's lead trustee, had scheduled a meeting for tomorrow at which he would present the agreement to family members. He is expected to give the family several days to make a decision, suggesting a final resolution could be achieved next week.
The Bancrofts control 64 per cent of the company's votes.
- REUTERS
