Murdoch confirms DirecTV talks nearing an end

LONDON - News Corporation chairman Rupert Murdoch has confirmed to shareholders that he is close to finalising a deal which would see him take control of US satellite broadcaster DirecTV.

Murdoch also revealed he will publicly offer a stake in the new global satellite group which would result if he merged News Corp's Sky Global Networks, holding company of BSkyB, with DirecTV parent Hughes, a division of General Motors.

On Friday, it emerged that EchoStar, the second-largest US satellite TV operator and Murdoch's only rival in the takeover battle, had failed to secure financial backing from other companies.

It is believed that the only way the General Motors board would consider a bid by EchoStar would be if Murdoch walked away.

General Motors is believed unlikely to want to open itself up to the rigorous anti-trust investigation that a deal between DirecTV and EchoStar, the two largest US satellite TV operators, would almost certainly bring.



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