A proposed reunion of two parts of Rupert Murdoch’s empire has been abandoned by the media tycoon.

The 91-year old and his son Lachlan had floated the idea of bringing together News Corp – the US company behind the Wall Street Journal, Harper Collins and The Times newspaper, with Fox News owner Fox Corp.

The two companies were split in 2013 in a move designed to draw a line between the-then struggling publishing businesses and its entertainment division.

The board of News Corp said last year it had formed a committee to independently assess whether the reunification of the two businesses would be in shareholders’ interests.

Several top investors had since spoken out against the idea, suggesting it could have undervalued News Corp.

The Murdoch family controls about 40% of the entities.

The proposed tie-up was seen, in some quarters, as potential succession planning by Murdoch senior to consolidate power behind Fox chief Lachlan though that prospect was dismissed as “absurd” by the company last November.

News Corp said: “The company’s board of directors received a letter from K Rupert Murdoch withdrawing the proposal to explore a potential combination of News Corp and Fox Corporation.

“In withdrawing the proposal, Mr Murdoch indicated that he and Lachlan K Murdoch have determined that a combination is not optimal for shareholders of News Corp and Fox at this time.”

According to the Reuters news agency, News Corp is currently in talks about exploring a sale of its stake in Move, the operator of the realtor.com website, to CoStar Group for a sum of about $3bn.

Related posts:

Rising cost of food and transport sees UK inflation rise again Ministers intervene in £6.3bn Meggitt takeover ‘to assess any national security concerns’ Green investment, the music industry, and Virgin Media’s merger with O2 HGV driver crisis: ‘Things are not visibly getting better at this stage’ HS2 plans, finnCap sales and Land Securities’ recovery More than 14,000 ‘ghost flights’ left UK airports during the pandemic British Gas chief to waive £1.1m bonus as households face bill surge Arcadia trustees close in on £1bn Topshop pension deal Who is going on strike this month and when Ex-chancellor Lord Hammond enlisted by new £1bn UK fintech fund Catering giant Compass reports recovery that beats expectations Help on the way for energy-intensive industries, PM says