British Sky Broadcasting Group plc (often called BSkyB or just Sky) is the largest pay-TV broadcaster in the UK with over 10 million customers. It was formed in 1990 when Sky Television and British Satellite Broadcasting merged – both companies were struggling financially and were not able to effectively compete with each other.
It is listed on the FTSE100 and in 2010 had an annual revenue of £5912 million and an operating income on £1096 million.
Takeover by News Corp / Rupert Murdoch
News Corporation owns 39.1% of BSkyB and are seeking permission to takeover the company in full. These plans are currently in jeopardy as a result of the phone hacking scandal that took place in some News Corporation owned newspapers. The takeover proposal of 700p was made in June 2010 but was rejected by BSkyB.
BSkyB were said that they would only consider offers of at least 800p per share, however, since the phone hacking scandals the share price has dropped as the merger is likely to be cancelled. Ironically this may set BSkyB up for a more aggressive takeover if approval is made.
As of 11th June 2011 BSkyB was trading at just under 700p at 699.25p.
News Corporation have changed their bid and Culture Secretary has referred the offer to the competition commission.
- 1 Braham Street
- London UK
- E1 8EP
- 020 7032 8000
The company registrar is Equiniti.
Sky Dividend Payments
Sky pays two dividends each year, and interim dividend is paid in April and the final dividend is paid in October. The final dividend payment of 2010 was 11.525p.
Sky offers a dividend reinvestment plan which you can arrange through the company registrars.