GE will not be part of a bid for Dow Jones, the company has officially declared. Thus ends it brief flirtation…it has been in and out of the frame all along. As best we know, the most recent possibility under discussion was a bid in partnership with Pearson; one variation was a JV with GE putting in CNBC, Pearson the FT and the Bancrofts retaining a minority share. The no-go by GE leaves Pearson with even more limited options.
GE’s statement: “GE and NBC Universal are always evaluating opportunities to enhance our businesses and shareowner value, particularly when they involve superior global brands such as CNBC, the Financial Times Group and Dow Jones. GE and CNBC recently held exploratory discussions with Pearson regarding a possible combination of these properties. Following these discussions, GE and Pearson have decided not to pursue this combination. Pearson and NBC Universal continue to discuss cooperative agreements between CNBC and the Financial Times Group.”
Pearson’s statement: “Pearson notes recent press speculation concerning Dow Jones. Pearson regularly reviews a variety of investment ideas and evaluates whether they would enhance value for its shareholders. Pearson has had exploratory talks with GE about opportunities in business and financial information, including Dow Jones, and has decided not to pursue a combination of CNBC, the Financial Times Group and Dow Jones. The two companies continue to discuss co-operating agreements between CNBC and the Financial Times Group.” The Pearson statement does not exclude other efforts.
WSJ: GE and Pearson are discussing a deal in which the FT could provide content to CNBC’s channels outside the U.S. and to its Web site, the story says…CNBC has a similar deal with WSJ for its U.S. stations.
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