Shareholders approve INL media deal

Independent Newspaper Ltd's shareholders today approved Telecom's plan to sell its 12 per cent stake in INL to Rupert Murdoch's News Corp.

News will pay $272 million, or $6.19 per share, for the shares.

Shareholders voted to approve the deal at a special meeting held in Wellington today.

INL's independent directors last month recommended that shareholders approve the deal. The approval was based on an independent adviser's report from Grant Samuel which found INL shareholders would not be disadvantaged by the deal.

News currently holds a 43.7 per cent stake in INL. If the proposed merger between INL and Sky TV proceeds, News' shareholding in the new company will be 43.6 per cent -- including the stake from Telecom.

INL shareholders and Sky TV shareholders are meeting in Auckland on June 13 to vote on the proposed merger of INL and Sky TV.

Shares in Sky TV were unchanged at $6.60 at noon today, while INL shares were down 3c at $6.25.

- NZPA