Australia competition watchdog OKs pay TV takeover
SYDNEY—Australia's competition watchdog has approved a bid by Rupert Murdoch's cable TV provider to buy out a rival.
The Australian Competition and Consumer Commission on Tuesday approved Foxtel's 1.9 billion Australian dollar ($2 billion) takeover bid for rival Austar.
Murdoch's News Limited, a subsidiary of his U.S.-based News Corp., has a 25 percent stake in Foxtel. Foxtel has 1.63 million subscribers and Austar has 760,000.
The regulator had initially expressed concern that the takeover would create a monopoly in pay TV services. It approved the deal after imposing several restrictions, including banning Foxtel from buying exclusive internet TV rights for several programs.
The deal still needs final approval from the Federal Court.