Rupert Murdoch buys out 3 of his children to seal fate of his media empire
a day ago
- #Rupert Murdoch
- #Family Business
- #Media Empire
- Rupert Murdoch buys out 3 of his children (Prudence, Elisabeth, and James) to secure the conservative future of his media empire.
- Lachlan Murdoch, Rupert's heir, gains full control of Fox Corp. and News Corp. post-Rupert's death.
- Each of the three children receives $1.1 billion in the settlement, funded by selling $1.4 billion in company shares.
- James Murdoch had been critical of Fox News' conservative direction, including its coverage of the Capitol siege and climate change.
- The original family trust is dissolved, replaced by a new one with Lachlan in control, excluding the three bought-out siblings from influence.
- Grace and Chloe, from Rupert's third marriage, are financial beneficiaries but have no voting power.
- The Murdoch companies' voting shares are diluted from 40% to about one-third due to the share sale.
- Rupert and Lachlan's legal actions against the siblings were deemed in bad faith by a Nevada court.
- Fox News faces ongoing scandals, including a defamation suit from Smartmatic over 2020 election coverage.
- Rupert Murdoch has a history of financial settlements, including payments to his children and privacy violation claimants.