Rupert Murdoch said at Allen & Company's annual media retreat that he is getting a little bit tired of waiting for the Bancroft family that runs Dow Jones (NYSE:DJ) to make up their minds about his $60 a share bid.
Murdoch was quoted in the New York Times as saying: "They keep changing their minds."
Press reports have Dow Jones to talking to billionaire Ron Burkle about a potential competing bid to Murdoch. It is hard to imagine that Burkle or any other "non-media" entity will be able to raise $5 billion in a short time to buy Dow Jones. A number of analysts have pointed out that the price is probably above what can rationally be supported by Dow Jones earnings.
But, Murdoch controls News Corp (NYSE:NWS), the entity that would buy Dow Jones, and he believes that he can make money by combining the business publisher with properties like his new Fox Business channel which will launch in October.
If Murdoch decides to walk away, and he may, Dow Jones shareholders will be left with a $30 stock and very little prospect that it will go higher.
Douglas A. McIntyre is a partner at 24/7 Wall St.
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