Rupert Murdoch’s News Corporation has announced plans to issue a bond exchangeable for shares in its UK satellite broadcaster BSkyB.
The company maintained that the $1.35 billion issue was necessary for “general corporate purposes” but the move has rekindled speculation that Murdoch is raising funds in preparation for a bid for US satellite company DirecTV.
Last month, News Corp and Liberty Media abandoned plans to make a joint offer for Hughes Electronics, which owns DirecTV, and a competitive bidding process lies ahead (see Murdoch & Malone Pull Out Of Joint Bid For Hughes).
