21st Century Fox, the parent company of the Fox movie and TV empire will sell most of itself to the Walt Disney company, as was announced by Disney Thursday morning.
But Disney isn’t getting everything, as Fox said in a separate statement Thursday.
While the Disney purchase of 21st Century Fox is going through shareholder and regulator approval, Fox intends to split off some prize assets to its current shareholder as a so-called “New Fox.” These assets will include Fox News, Fox Business, Fox Sports, Fox Broadcasting Company, Fox Television Stations Group, FS1 and FS2, Fox Deportes and Big Ten Network. It also will include Fox’s minority investment in Roku and the historic 20th Century Fox studio lot in Los Angeles, according to the company.
“The new Fox will draw upon the powerful live news and sports businesses of Fox, as well as the strength of our Broadcast Network,” Rupert Murdoch, 21st Century Fox Executive Chairman said. “It is born out of an important lesson I’ve learned in my long career in media: namely, content and news relevant to viewers will always be valuable. We are excited by the possibilities of the new Fox, which is already a leader many times over.”
New Fox Assets
- Fox News Channel (FNC): FNC is available in approximately 90 million homes.
- Fox Broadcasting Company (FOX): FOX is viewed by nearly 100 million households each month, airing 15 hours of primetime programming a week, as well as major sporting events and Sunday morning news.
- Fox Business Network (FBN): available in more than 80 million homes in major markets across the United States. The network has bureaus in Chicago, Los Angeles, Washington, DC and London.
- FOX Television Stations Group: comprising 28 stations in 17 markets and covering over 37% of U.S. television homes. This includes a presence in nine out of the 10 largest metro areas in the U.S. including seven duopolies in the top 10 markets: New York, Los Angeles, Chicago, Dallas, San Francisco, Washington, D.C. and Houston; as well as duopolies in Phoenix, Minneapolis, Orlando and Charlotte.
- FS1 and FS2
- Big Ten Network: The network is in approximately 50 million homes across the United States and Canada.
- Fox Studios in Los Angeles and Fox’s minority ownership of Roku.
Following the spin-off, Fox expects to continue to pay shareholders a strong regular dividend, with the initial rate to be determined prior to the completion of the spin-off, the company said.