Shares in Rupert Murdoch's companies tumble as investors take fright

Source: The Guardian

Investors in companies controlled by Rupert Murdoch have been dumping the shares amid fears on both sides of the Atlantic over the fallout from the phone-hacking scandal at the News of the World.

Shares in broadcaster BSkyB are down 5% in the last week, wiping some £666m off the value of the business, while News Corp had lost 2.6% – slicing some $400m off the value of the News of the World's ultimate parent company. Many hedge funds which had bought into BSkyB in the hope of making a quick profit from the bid have been selling the shares on fears that the deal now faces substantial delay.

News Corporation, where Murdoch is chairman, wants to acquire the 61% stake in BSkyB it doesn't already own. Analysts say the move will eventually yield far more profit than the money the media mogul had been making from the News of the World (NoW).

But the threat to the BSkyB deal has rattled shareholders, who fear the government or regulator might now kick the proposed transaction into the long grass.

Read more: http://www.guardian.co.uk/business/2011/jul/07/shares-rupert-murdoch-companies?intcmp=239

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Maybe he could sell his US holdings to raise capital?

that unless the takeover is blocked he'll pick up the shares he needs in BSkyB cheaper.

touted that his was stock up most of the day before http://money.cnn.com/2011/07/07/news/international/news_of_the_world/index.htm?source=cnn_bin&hpt=hp_bn3">correcting the article later to claim that they ended "flat". :crazy:

I can't trust them. It mirrors fake news now.

Nighttime shows on MSNBC gives the facts no matter how painful the outcome is. Murdock is not hurting at all. He owns a lot of newpapers, mags and tv, this is like a drop in the bucket to him.