Murdoch Walks Away From Sky

Rupert Murdoch is officially walking away from Sky Plc, the satellite broadcaster he helped build over three decades, marking the end of an era for both the billionaire and U.K. media.

According to philly.com, 21st Century Fox Inc., which Murdoch controls, agreed to sell its 39 percent stake in Sky to Comcast Corp. after an intense bidding war that lasted months. Comcast was already poised to acquire the remaining 61 percent of the company, but it wasn't clear until Wednesday that Murdoch would capitulate and sell the remainder, as well.

The move lets Fox focus on another mega-deal underway: The majority of the company will be sold to Walt Disney Co. in a $71 billion transaction that's slated to close next year. Disney supported the decision to sell Fox's Sky stake, which is worth more than $15 billion. The move will help Disney reduce the amount of debt it has to take on in acquiring Fox.

Fox will get $22.77 a share for Sky, the amount of Comcast's winning bid submitted at an auction on Sept. 22.

"In light of the premium Comcast has agreed to pay for Sky, we and Disney have decided to sell 21CF's existing 39 percent holding to Comcast," Fox said. "We congratulate Comcast on their pending acquisition."

Comcast, the largest U.S. cable provider, is now on track to take full control of the British pay-TV company — and its 23 million subscribers in five European countries.

Between selling the Sky stake and a separate plan to unload Fox's regional sports networks, Disney is expected to cut about $30 billion from its acquisition costs. Investors cheered the news, sending Disney shares up as much as 2.4 percent on Wednesday.