News Corp could acquire remaining BSkyB stake

News Corp could look to acquire the 61% in UK satellite pay-TV service BSkyB it currently does not own as a result of the pay broadcaster’s strong cash flow position, according to analysts.

Investment bank Morgan Stanley noted that Rupert Murdoch could acquire the remaining shares in BSkyB as result. “Sky will have net cash, on our numbers by June 2013. According to management, it has no major reinvestment requirements, potentially opening the way for accelerated dividend growth or one-off cash returns. This potentially strong cash position has raised hopes that News Corp may wish to buy out the 61% of BSkyB it does not already own,” it noted.

 

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