The U.K. government announced on Tuesday it was prepared to approve Twenty-First Century Fox’s (NASDAQ: FOXA) acquisition of Sky News, pending the sale of Sky. The approval for the acquisition could possibly start a bidding war with Comcast Corporation (NASDAQ: CSCMA).
Fox’s Rupert Murdoch offered a his bid back in December of 2016 to acquire Sky, but his bid was upheld by regulators over fears of controlling the news media. Fox already owns 39 percent of Sky.
Culture Secretary Matt Hancock said Fox’s proposal to divest Sky News to Disney (NYSE: DIS) or to another third party buyer, with an agreement that it is funded for at least 10 years, which will most likely be the agreements to quell public concerns.
Fox is already selling off its assets to Disney for approximately $52 billion, but totals to $66.1 billion including stakes in Sky and Hulu.
Comcast was set to top Disney’s bid to acquire Fox, as sources said that the bid can be as much as $100 billion in cash.
“While no final decision has been made, at this point the work to finance the all-cash offer and make the key regulatory filings is well advanced.” said Comcast in a statement.