The Australian Competition and Consumer Commission will not oppose the proposed merger of FOXTEL and FOX SPORTS Australia Pty. Ltd. after finding that the transaction would not substantially lessen competition.
The competition regulator considered how the merger would affect a number of different markets and took into account feedback from a range of market participants in reaching this decision, according to a Dec. 7 statement.
In August, Australian telco Telstra Corp. Ltd. and News Corp. announced a plan to merge FOXTEL and FOX SPORTS into a new company, wherein News Corp. would have a 65% stake in the new company, while Telstra would have a 35% stake.
The new entity will invest in locally written, produced and directed programming and deliver a range of new products and packages across devices and platforms.