Australian Fund Managers Are Unhappy After 21st Century Fox Said It Would Leave The ASX

Photo; Getty/Justin Sullivan

21st Century Fox yesterday said it would seek shareholder approval to de-list from the ASX by April, in a bid to consolidate its capital structure.

The company said it would help investors who wanted to switch their holdings into a stake in Fox shares on the Nasdaq, though some local fund managers reportedly think a buy-back would help smooth things over.

Colonial First State equities head Marcus Fanning told The Australian the decision was insulting to Australian investors who had supported the company.

“Given the state of the Fox balance sheet, a simultaneously announced share buyback would help address the liquidity impact of Australian shareholders being forced to sell by virtue of their mandates,” he said.

“We are not spoilt for choice in Australia with investment options in the media sector so it is disappointing to lose a stock with the quality of the businesses that are in Fox.”

There is more here.

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