Sky expected to gain profits as the ownership tussle extends

Company - Mohit Shah - Jul 26,2018

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sky expected to gain profits as the ownership tussle extends

The pan-European satellite, Sky, is at the centre of an ownership battle and has managed to attract new subscribers leading to enhanced profits.

According to reports, Sky has managed to grasp pre-tax profits close to 7.5% in the past twelve months marked till the end of June. In addition, the broadcaster has managed to bring in fresh 500,000 customers all across Europe.

These positive outcomes will sharpen the desires of US cable giant Comcast and the renowned entertainment group Disney. It is the tussle between both the companies that has kept the UK-based news-to-sport provider under the limelight.

As per recent speculations, Comcast is at the forefront to takeover Sky, in a bid that ranges till £26bn.

Sky manages close to 23 million pay-TV subscribers across the UK and Ireland, Austria, Germany and Italy and will not wish to give Comcast a key grip in the European market.

Twentieth Century Fox holds 39% shares of Sky, and is controlled by the Australian media entrepreneur Rupert Murdoch. Although Comcast delivers a promising lead, but Fox has decided to handover the entertainment possessions to Disney, together with its own stakes in Sky. This is the prime cause of the bidding war with Comcast that involves the acquisition of the 61% shares of Sky which aren’t owned by Fox.

Sky's chief executive Jeremy Darroch said, “We've ended the year strongly with a good set of plans for the year ahead”. He further added Sky will move ahead with its strategy to invest in a wide range of content covering sports and non-sports, with an aim to appeal more audience.