News Corp's business ex-REA underpriced by market - UBS

News

25/01/2023 24:54

** News Corp's  NWS.AX  business excluding REA Group
 REA.AX  being underpriced by market, despite Rupert Murdoch
scrapping a plan to merge it with Fox Corp  FOXA.O  - UBS   
    ** NWS down as much as 1.3% to A$27.80 
    ** Early on Wednesday, media mogul Rupert Murdoch said a
merger of News Corp and Fox Corp would be "not optimal" and
withdrew the merger proposal 
    ** UBS says merger could have been a way to close the gap
between the fundamental value of the business, excluding its
61.4% stake in online property classifieds operator REA Group,
and its market value 
    ** UBS lowers price target on NWS to A$34.00 from A$35.20 on
cutting valuation of REA Group 
    ** News Corp's NASDAQ-listed shares fell more than 1% in
extended trading 
    ** As of last close, NWS up 3.3% YTD
 (Reporting by Harshita Swaminathan)
 ((Harshita.Swaminathan@thomsonreuters.com))