Murdoch sole buyer of TV stations

Press, 24 June 1985, Page 6

Murdoch sole buyer of TV stations

NZPA-Reuter New York " Rupert Murdoch’s News America Publishing Inc. became the sole buyer of seven American television stations when the Davis Oil Company dropped out of the multibillion dollar deal. The purchase price for Metromedia Inc.,’s stations, which reach nearly 20 per cent of American homes, was believed to be between SUSI. 6 billion ($3,488 billion) and SUS2 billion ($4.36 billion) but would include as-

sumption of an estimated SUSI. 3 billion ($2.83 billion) in debts. Mr Murdoch expects to ask the Federal Communications Commission tomorrow for approval of the deal, which will be the second-largest in the history of television — eclipsed only by the SUS3.S billion ($7.63 billion) take-over of the American Broadcasting Companies by Capital Cities Communications.

Less than two months ago Messrs Davis and Murdoch agreed to buy the stations

jointly, which serve six of the ten largest markets in the United States.

As part of the deal they would buy seven stations but immediately sell one, in Boston, to the Hearst Corporation for SUS4SO million ($9Bl million). Mr Murdoch would keep stations in New York, Los Angeles, Chicago, Washington, Houston, and Dallas-Fort Worth. Davis Oil’s chairman, Mr Marvin Davis, did not say why it would not buy 50 per cent of the company that would own the stations.