Report: Sony wants to buy Newcastle
Posted: Tuesday December 15, 1998 11:11 AM
NEWCASTLE, England (AP) -- Electronics giant Sony reportedly is
the company behind a 160 million-pound ($267.2 million) bid for
Newcastle United.
Newcastle said Tuesday that a takeover bid has been received
although it declined to say who from. It also said that any
takeover rested with a decision by the Monopolies and Mergers'
Commission over a proposed BSkyB bid for Manchester United.
"Newcastle United plc has noted the recent movement in the
company's share price and the speculation regarding a possible
offer for the company," Newcastle said in a statement.
"The company confirms that a preliminary approach has been made
which may or may not lead to an offer for the club."
"The company has been informed that any offer would not be made
until the Monopolies and Mergers Commission has reported on the
offer by BSkyB plc for Manchester United plc," the statement said.
BSkyB, owned by media magnate Rupert Murdoch, has bid 623
million pounds ($1 billion) for Manchester United and the MMC
has to make a ruling on whether it breaches the rules of fair
trading.
Although the Newcastle statement did not say who had made the
bid, several reports indicated it was Sony.
The ownership of the Newcastle has been in the headlines for a
year. Former chairman Freddy Shepherd and deputy Douglas Hall were
controversially reappointed to the board of directors last week
eight months after stepping down for reportedly making derogatory
comments about the women of Newcastle and calling star striker Alan
Shearer "Mary Poppins."
The company chairman, Denis Cassidy, and non-executive directors
Tom Fenton and John Josephs resigned in protest at the return of
Shepherd and Hall.
Newcastle's stockbrokers, BT Alex Brown, also quit.
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