Fox Corp. CEO Lachlan Murdoch said Wednesday in his first public remarks after the deal that the Murdoch family trust agreement is “great news for investors” and will ensure clarity and continuity in the company’s strategy.
The agreement, announced Monday, cemented the politically conservative son of Rupert Murdoch’s control over the media empire that includes Fox News and The Wall Street Journal, ending a long-running succession battle.
“This gives us clarity about our strategy for the future. It shows that our strategy will be consistent. It is clear and very resilient,” Murdoch told investors at the Goldman Sachs Communacopia + Technology conference.
The deal, reached after a Nevada court last year rejected an attempt to amend the family trust, guarantees leadership certainty and preserves the group’s conservative course.
Rupert’s children — James Murdoch, Elisabeth Murdoch, and Prudence MacLeod — agreed to sell their stakes in Fox and News Corp. within six months. According to a source cited by Reuters, each will receive $1.1 billion.
Part of the payout will come from selling News Corp. and Fox shares at about a 4.5% discount, raising $1.37 billion.
The new trust, which will benefit Lachlan and his younger sisters Grace and Chloe Murdoch, will hold 36% of Fox’s Class B shares and 33% of News Corp.’s Class B shares.
Lachlan also added that Fox’s strategy was set back in 2019 when the company sold most of its entertainment assets to Disney, and that this course has proven successful.