(Reuters) – Rupert Murdoch’s News Corp (NWSA.O) said on Monday it will sell a controlling stake in its three China TV channels to a private equity fund backed by Shanghai Media Group (SMG), China’s No.2 media company.
The deal would see China Media Capital acquire a controlling stake in News Corp’s Xing Kong, Xing Kong International and Channel [V] Mainland China channels, along with its Fortune Star Chinese movie library, News Corp said in a statement.
Established in 2009, China Media Capital is a private equity fund with with 5 billion yuan ($739 million) in assets under management and a focus on investments in the media industry. It is backed by SMG, as well as China Development Bank and China Broadband Capital.
Terms of the deal were not disclosed. (Reporting by Doug Young; Editing by Chris Lewis)