Media giant 21st Century Fox is to sell its 47% stake in Chinese satellite television group Star China TV to controlling shareholder China Media Capital (CMC) for an undisclosed fee.
The move marks a retreat for the Murdoch-owned group’s foray into…
Media giant 21st Century Fox is to sell its 47% stake in Chinese satellite television group Star China TV to controlling shareholder China Media Capital (CMC) for an undisclosed fee.
The move marks a retreat for the Murdoch-owned group’s foray into China having established itself with the rise of Satellite Television Asia Region (STAR) in the 1990s.
Star China TV was spun out of STAR in 2010 after media and entertainment investment fund CMC purchased a 53% stake in the Chinese properties. These predominantly comprised three 24-hour Mandarin channels: Xing Kong, Xing Kong International, Channel [V] Mainland China and the Fortune Star Chinese movie library.
Commenting on the deal, Ruigang Li, chairman of CMC said, “The acquisition and control of Star China was the first investment by CMC when it was established. Over the past three years, the company has achieved outstanding performance thanks to the dedicated efforts of its shareholders and management. We are very grateful for the tremendous support and understanding from Mr. Rupert Murdoch, Mr. James Murdoch and the 21CF team.
“This latest transaction marks a new era for Star China and we remain committed to building the company into one of the most respected entertainment companies in China.”
James Murdoch, 21st Century Fox’s deputy COO and chairman and CEO, international, added, “Today’s divestment underscores our broader agenda of streamlining our affiliate ownership structures.”
Founded in 2012, CMC is China’s first media and entertainment focused fund approved by the National Development and Reform Commission (NDRC). Its founding partners include the China Development Bank.
21st Century Fox (21CF) was formed in 2013 following the split of News Corporation into broadcasting and film unit, 21CF, and a publishing unit, News Corp. Among 21CF’s assets are stakes in satellite pay-TV providers BSkyB, Sky Deutschland and Sky Italia.
Rupert Murdoch met his former wife Wendy Deng at Star China TV in 1999 while she was working there.
