Murdoch, Dow Jones yet to strike deal; US magnate named possible bidder

09 July 2007

Mumbai: Rupert Murdoch''s News Corp and business newswire Dow Jones & Co. have refuted media reports that the two sides have successfully completed their talks and have reached an agreement.

The Business, a London-based magazine had reported that Dow Jones had accepted Murdoch''s original $5 billion, $60-a-share offer and that a deal was expected to be announced next week, citing unnamed sources acting for the Dow Jones board.

The magazine had said on its web site that sources acting for the Dow Jones board said that negotiations on the deal have been completed and that the board is confident it will be accepted by the Bancrofts, over the next few days.

Dow Jones and News Corp. have been engaged in due diligence for more than a week. People on both sides of the negotiations say the process has been smooth, with an agreement on price possible soon, according to the report.

The report, written by Andrew Neil, a former Murdoch lieutenant and the chief executive of Press Holdings Media Group, which owns The Business, said that the deal was delayed until agreement was reached on a legally enforceable undertaking by Murdoch to "preserve The Wall Street Journal''s editorial independence."

A News Corp. spokesman said "the company is unaware of the truth or otherwise of the report in the British magazine."