Why have the independent directors of Dow Jones been in such a rush to reject the bid by the News Group.
It is true that the founding family has control, albeit with much less than 20% of the capital, two tier share structures are created exactly for that purpose. However, they are called independent directors so that they have their own views and, once investigated, make those views known.
Their independence is highly questionable.
Onésimo Alvarez-Moro
See article:
Dow Jones's board of directors last night decided to take "no action" in the wake of Rupert Murdoch's unsolicited $5bn bid for the company, which shook the global media industry this week.
Goldman Sachs, which is advising Dow Jones, gave the full board an update on the News Corp bid, worth $60 per share, which had already been rejected by the controlling Bancroft family. The board, which includes members of the Bancroft family, decided to take no action in light of the family's decision, which effectively blocks a deal even if other shareholders support it.
Mr Murdoch has been pushing for a meeting with the Bancrofts to make his case for an offer that would allow him to add the Wall Street Journal, one of the world's most influential newspapers, to his media empire.
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