News Corp Says Publishing Company Will Have Financial Clout To Expand
News Corp Shareholders Will Meet On June 11 To Vote On Company Split
Rupert Murdoch crows this morning that newly released financial information shows the operation, which will inherit the News Corp name, will have “full financial flexibility to pursue its strategic agenda, which is to further develop and expand the power of its market-leading brands over a myriad of platforms.” New News Corp, as the SEC filing refers to the publishing company, will have about $2.6B cash on hand — with $1.8B contributed by the current company — and virtually no debt, with assets valued at $18.6B at year end. The publishing company won’t have to worry about future costs related to News Corp’s UK hacking and bribery scandals. Fox Group, the entertainment company that will be created after the split, will pay for any settlements and legal expenses and indemnify New News Corp for “liabilities arising out of civil claims or investigations” as well as “costs and expenses related to the criminal matters.” Today’s filing also confirms something that everybody had assumed: The new company’s shares will be listed on NASDAQ and the Australian Securities Exchange.