Lachlan Murdoch takes control of media empire after family ends legal battle over Fox, News Corp

The Murdoch Family Resolves Legal Battle Over Media Empire Control

The Murdoch family has reached a resolution on the legal battle concerning the control of its media empire, which includes Fox Corp. and News Corp. Lachlan Murdoch, the executive chairman and CEO of Fox Corp. and chairman of News Corp, will continue to lead the media giant established by his father, Rupert Murdoch.

A new trust named LGC Holdco LLC will be set up for the benefit of Lachlan Murdoch, along with his younger sisters Grace and Chloe Murdoch. Lachlan Murdoch will have full control over all the votes in LGC Holdco, which will hold significant stakes in Fox Corp. and News Corp once the deal is finalized.

Rupert Murdoch will retain his position as Chairman Emeritus of both companies. The board of directors of News Corp has expressed support for Lachlan Murdoch’s leadership and management in guiding the company’s strategy and success.

Under the terms of the agreement, the departing beneficiaries will receive cash consideration from the sale of shares previously held by the Murdoch Family Trust. The three siblings involved in the legal battle are expected to receive around $1.1 billion once the $3.3 billion deal is completed within six months.

As part of the settlement, the ongoing legal dispute between Rupert and Lachlan Murdoch against the older Murdoch children over the trust will be resolved. Rupert Murdoch’s attempt to amend the family trust for Lachlan to take control after his passing was denied by a Nevada court.

The value of the family stock in the trust has significantly increased since Lachlan Murdoch assumed leadership in 2019. Fox Corp. stock closed at a record high, and News Corp shares also performed strongly following the announcement of the resolution.