Who's the better trader? Murdoch or Greenspan...

Discussion in 'Wall St. News' started by scriabinop23, Jun 20, 2007.

  1. So... Lets get this straight.

    a: murdoch buys myspace 2 yrs ago from greenspan for 580mil
    b: murdoch wants basically 10bil worth of stock for it now.
    c: murdoch wants to buy DJ for 5bil. So that nets him 4 bil + WSJ /etc from some little music social networking site no one will give a crap about in 5 yrs.

    A: Greenspan sold for 580mil. Now he's getting involved with DJ?

    I smell a fish. On the surface it looks like sour grapes for selling too early...

    Report: News Corp. in Yahoo Talks
    Wednesday June 20, 5:29 pm ET
    Report: News Corp. Ponders Swapping MySpace for Stake in Yahoo

    LONDON (AP) -- Rupert Murdoch's News Corp. is discussing swapping social networking Web site MySpace for a 25 percent stake in Yahoo Inc., The Times newspaper reported Wednesday.
    The Times, which is owned by News Corp., said its parent was looking for exposure in a larger Internet-based business such as Yahoo.


    News Corp. spent $580 million to buy MySpace in 2005.

    A Yahoo spokeswoman declined to comment Wednesday. A News Corp. spokesman did not return a call Wednesday.

    Yahoo shares rose 3 cents to $27.66 Wednesday while News Corp.'s stock price fell 8 cents to $23.60.

    Based on Wednesday's trading, Yahoo had a market value of about $37 billion. That indicates News Corp. believes MySpace is now worth more than $10 billion, based on a 25 percent stake in Yahoo.

    In a research note Wednesday, Standard & Poor's equity analyst Scott Kessler said News Corp.'s asking price as "excessive." He also cited control issues and potential conflicts over Yahoo's online search business as stumbling blocks.

    Yahoo has been losing out to Google Inc., whose shares have increased six-fold in value since 2004 while Yahoo's share price has dipped.

    Profit at Yahoo fell 11 percent in the first quarter, the company said Monday, and it warned that second-quarter results may be at the low end of expectations.

    The downturn has fueled speculation that Yahoo might consider combining with eBay Inc. or MySpace.


    CORRECTED: Dow Jones board to run News Corp. talks: source
    Wednesday June 20, 5:30 pm ET

    (Corrects 2nd paragraph to show Greenspan offer is for a stake in Dow Jones)
    NEW YORK (Reuters) - Dow Jones & Co. Inc.'s (NYSE:DJ - News) board of directors will take over negotiations from its controlling family regarding News Corp.'s (Other OTC:NWSAF.PK - News) $5 billion offer to buy the company, a person familiar with the situation said on Wednesday.

    Separately, Internet investor Brad Greenspan said he made a proposal on Tuesday to buy a stake in Dow Jones for $60 a share.

    Greenspan is the founder of MySpace parent Intermix Media.

    News Corp. bought MySpace from Greenspan in 2005 for $580 million.