Austar United (ASX:AUN) is the largest provider of pay TV in regional and rural Australia, with around 730,000 customers receiving the company’s primary service of satellite digital television. AUN was dealt a blow on Friday after the ACCC blocked Foxtel’s takeover for the group. In blocking the bid, the competition regulator warned that a Foxtel-Austar tie-up would substantially reduce competition in the pay-TV market. The ACCC denied that the decision was related to the Newscorp (NWS) phone hacking scandal. Foxtel is 25% owned by NWS. A final decision on the bid will be made on 8 September, although it is unlikely the ACCC will change its mind. AUN shares sank 16.2% on the day, making it one of the worst performers in the stock market. Click for FREE Australian Share Market RecommendationsJuly 25, 2011
Australian Shares News Austar United (AUN)
Austar United (ASX:AUN) is the largest provider of pay TV in regional and rural Australia, with around 730,000 customers receiving the company’s primary service of satellite digital television. AUN was dealt a blow on Friday after the ACCC blocked Foxtel’s takeover for the group. In blocking the bid, the competition regulator warned that a Foxtel-Austar tie-up would substantially reduce competition in the pay-TV market. The ACCC denied that the decision was related to the Newscorp (NWS) phone hacking scandal. Foxtel is 25% owned by NWS. A final decision on the bid will be made on 8 September, although it is unlikely the ACCC will change its mind. AUN shares sank 16.2% on the day, making it one of the worst performers in the stock market. Click for FREE Australian Share Market Recommendations
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