SYDNEY Jan 10 An Australian pension fund said
on Thursday that it would sell down its A$7 million ($7.4
million) stake in Rupert Murdoch's News Corp, following
the failure of proposals for a more independent board at the
Last October, Rupert Murdoch survived a second attempt to
oust him as chairman of News Corp, defeating critics who said
his family wielded too much control over the
First Super, an A$1.7 billion pension fund in Australia,
said it had asked its fund managers to sell News Corp shares
over the next few months, as the lack of a more independent
board meant inadequacies of the governance structure and posed
"unacceptable" risks for investors.
"These issues are apparently of no concern to Rupert
Murdoch, so our Board decided to take his advice and sell down
our shareholding," Michael O'Connor, the fund's co-chair, said
in a statement.
News Corp shares have gained more than 40 percent in the
past year, and the company announced a plan to split into two
businesses, one for entertainment and one for publishing, a move
to boost the value of its film and television assets.
"Certainly the timing has been good for us, but clearly we
are a long-term investor as a superannuation fund and we take a
long-term view," O'Connor told Reuters.
Australia has the world's fourth-largest fund management
market, mainly because of the nation's A$1.3 trillion
superannuation system, which ensures a steady flow of retirement
savings into the market.