As News Corp. seeks to regain investor confidence amid a high-profile phone-hacking probe, the company is considering raising its quarterly dividend by 20% when it reports quarterly earnings, according to Bloomberg.
The dividend may rise to 9 cents a share from 7.5 cents, the story says. News Corp. earnings are set to be released tomorrow, Wednesday, after the markets close.
The dividend and a possible share buyback may help placate investors, who have been hurt by a 25% drop in News Corp.’s share value since July 4, when the U.K. newspaper The Guardian reported on phone hacking at News Corp.’s now-defunct News of the World tabloid.
Chairman Rupert Murdoch will participate in an investor conference call after the quarterly results are released, the article adds.