Decision on $1.9 billion Austar takeover expected shortly

Pay TV group Austar (ASX: AUN) has told the market the Australian Competition and Consumer Commission (ACCC) will make a decision on its $1.9 billion takeover by Foxtel on April 10.

Austar shareholders voted in favour of the proposed takeover last week.

In July the ACCC issued a strongly-worded statement casting doubts over the prospects of the takeover and in August it requested further discussions with Foxtel.

If the ACCC approves the takeover the parties will head to the Federal Court on April 13 for approval and the transaction would be completed on April 16.

Established in 1995, AUSTAR uses satellites that can service one-third of Australia’s homes and is the largest subscription TV operator in regional and rural Australia, with 750,000 subscribers.

Foxtel has about 1.65 million subscribers and is owned by Telstra, News Corp and Consolidated Media.

Austar shares were steady at $1.477 at 12.30 AEST.

Trending

COMMENTS

Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments