Activist investor Starboard Value has moved to dissolve News Corp’s dual-class share structure, a challenge to the Murdoch family’s control over The Wall Street Journal parent, according to people familiar with the matter.
The push was made via a non-binding shareholder resolution, said the people. News Corp’s structure as of September gave Rupert Murdoch control over around 40% of the company’s voting stock.
Starboard owns roughly 2% of the company’s Class A shares, according to FactSet data. Managing member Jeff Smith told CNBC last year the firm was pushing for News Corp to spin out its real estate assets, including an interest in REA Group of Australia.
Smith became vocal last year regarding the dual class structure: “There have been votes to declassify, it’s something to consider as well. But there are easier paths to create a lot of value.”
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