We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
RSS FeedGovernance

BSkyB investors raise governance concerns


Minority shareholders cast doubt on chairman James Murdoch’s position

Article comments

Minority investors in the British broadcaster BSkyB threw into doubt their chairman James Murdoch’s position by calling for closer scrutiny of the company’s corporate governance.

The primary concern is reportedly that the influence of News Corp, which owns 39 percent of BSkyB shares, is too great and should be looked at more closely in light of the hacking scandal surrounding the media conglomerate.

“We think they should review the composition of the BSkyB board and the influence exerted by those with ties to News Corp,” one top ten investor in the satellite broadcaster told Reuters.

A second top 25 investor in the company said BSkyB's corporate governance remained “tricky” but he denied market chatter that fellow shareholders were determined to drive out Murdoch.

News Corp’s US shares fell 4.7 percent in pre-market trading on Monday and the Australian stock sank to a two-year low after Rebekah Brooks, ex-chief executive of the company’s UK arm, was arrested on Sunday and the head of London’s Metropolitan Police Paul Stephenson quit over the scandal.

Until earlier this month News Corp looked set to acquire the 61 percent of shares in BSkyB it does not currently own but its bid to do so was dropped last week.

On Tuesday last week the shareholder advisory group Pirc raised “governance red flags” with regards to James Murdoch’s appointment as chairman at BSkyB and encouraged its investors to demand greater disclosure on the subject.

Share:

Comments

BSkyB investors raise governance concerns
Governance

What makes a good board report?

What makes a good board report?

Examining how CFOs can improve the way they report back to the boardmore ..


Vodafone buys out partner's stake in Indian unit

Mobile giant acquires the remaining 11% it did not already ownmore ..

Financial advisers not being clear enough on charges, says watchdog

FCA’s review found 73% of firms failed to provide adequate informationmore ..

EU data retention rules violate privacy rights, EU court rules

Rules requiring telcos to retain communications metadata are disproportionate, the court saidmore ..

Examining the issue of corporate litigation funding

Litigation funding is a very useful tool for CFOs but not a panacea for all legal mattersmore ..

Corporate governance: A catalyst for innovation

Corporate governance is a powerful tool in a C-suite executive’s arsenalmore ..

Send to a friend

Email this article to a friend or colleague:


PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.



In Depth
How M&A teams can create value by challenging the CEO

How M&A teams can create value by challenging the CEO

A typical “hold” period of nine to 18 months can generate increased sale value more ..

In Depth
What every company needs to do about big data?

What every company needs to do about big data?

In the first of a three part series, Pat Brans explores just how big 'big data' will get? more ..

Advertisement

* *