Rupert Murdoch’s US media company, 21st Century Fox, has denied reports that it has held talks over a takeover of global media and entertainment company Discovery Communications.
The Australian Financial Review, citing sources close to the situation, said senior executives from 21st Century Fox met with their counterparts at Discovery about two weeks ago to discuss a potential takeover bid.
The newspaper said the discussions were “nascent” and in the “very, very early days,” adding there was no guarantee a formal offer would be made or that discussions have since continued. However, it is believed investment banking advisers were present at the talks.
Responding to the report, a 21st Century Fox spokesman denied the talks took place, adding: “The story is categorically untrue.”
The prospect of a 21st Century Fox takeover of Discovery would create a sports, movie and entertainment giant. Fox operates the Fox Sports channels, while Discovery completed its acquisition of pan-regional sports broadcaster Eurosport last year.
In August, 21st Century Fox withdrew its $80bn (€70.4bn) bid for rival media company Time Warner, adding that it would instead buy back $6bn of its own shares.