Key Points
- The Murdoch family has reached a settlement to resolve a lengthy legal battle over their family trust.
- New trusts will be established for Lachlan Murdoch, Grace Murdoch, and Chloe Murdoch.
- Prudence MacLeod, Elisabeth Murdoch, and James Murdoch will no longer be beneficiaries of trusts holding shares in News Corp and Fox Corporation.
- The departing family members will receive cash payouts funded through the sale of millions of shares in News Corp and Fox Corporation.
Murdochs Settle Long-Standing Family Trust Dispute
The Murdoch family has officially ended a protracted legal dispute concerning the succession and control of their family trust, a pivotal entity holding sway over the future of the global media giants News Corporation and Fox Corporation.
This landmark settlement marks a significant shift in the governance and beneficiary structure of the Murdoch family trust, which has been a subject of intense litigation and speculation for years.
New Trust Beneficiaries Announced
Under the terms of the agreement, the trust will be restructured to establish new trusts specifically for Lachlan Murdoch, Grace Murdoch, and Chloe Murdoch. These family members will continue as beneficiaries and maintain vested interests in the family’s media empire.
Conversely, three prominent Murdoch family members—Prudence MacLeod, Elisabeth Murdoch, and James Murdoch—will cease to be beneficiaries in any trust holding shares of News Corporation or Fox Corporation. This transition effectively removes their direct influence over these controlling holdings within the companies.
Financial Terms and Share Sales
As part of the settlement, the family members exiting beneficiary status will receive cash payments. These payouts will be financed by selling a substantial block of shares—14.2 million shares of News Corp Class B common stock and approximately 16.9 million shares of Fox Corporation Class B common stock—currently held by the Murdoch Family Trust.
Implications for the Media Empire
This resolution is expected to streamline the decision-making process and solidify the leadership structure within the Murdoch media empire. The adjustment in trust beneficiaries aligns leadership with Lachlan Murdoch, frequently seen as the heir apparent in the family’s business hierarchy.
This development closes a challenging chapter for the Murdoch family, allowing them to focus on the future growth and strategic direction of their influential media holdings.
The Murdochs: Empire of Influence (Getty Images)
Image Referance: https://www.thewrap.com/murdoch-family-trust-settlement/
