How High Is Murdoch Willing to Go in His Bid for Time Warner? LA Times
Some analysts believe Rupert Murdoch may sweeten 21st Century Fox’s bid for Time Warner, after its initial $85 per-share proposal was turned down, reports the Los Angeles Times’ Company Town.
An offer could reach $100 per share, pricing the deal at $91 billion, according to some analysts.
“We believe this transaction makes strategic and financial sense -- even at $100 a share," Wells Fargo media analyst Marci Ryvicker wrote in a research note. She added that $85 is a new “floor” for Time Warner stock.
After the offer was made public, Time Warner’s stock rose 17%, reaching $83.13 on Wednesday. Fox’s shares declined 6% to $33, although the relatively stable trading signals that "investors might be inclined to go along with Fox's acquisition plans,” the piece notes.