Murdoch family reaches $3.3B succession settlement: Who gets what
What's the story
Rupert Murdoch has settled a long-standing family succession dispute, securing control of his media empire under his eldest son, Lachlan. The family announced this on Monday, confirming that Lachlan will head the media group. This includes outlets like Fox News, The Wall Street Journal, and The Times in the UK. The settlement involved buying out three of Rupert's children for a total of $3.3 billion. The deal also guarantees that these publications will remain politically conservative even after 94-year-old Rupert's death.
Trust transition
Siblings to be excluded from trust
As part of the deal, Lachlan will head a new trust. His siblings—Prue MacLeod, Elisabeth Murdoch, and James Murdoch—will no longer be beneficiaries of any trust holding shares in Fox or News Corp. Each of the siblings will get $1.1 billion in exchange for surrendering their ownership stakes and beneficiary rights in the family trust. This comes after years of tension over the future direction of their family's media empire. The internal struggle even inspired the hit TV show Succession.
Leadership role
Lachlan seen as Rupert's most politically conservative child
Lachlan, who is currently the chair of News Corp, a company that owns The Wall Street Journal and The Times among other publications, is seen as Rupert's most politically conservative child. "The leadership, vision and management by the company's chair, Lachlan Murdoch, will continue to be important to guiding the company's strategy and success," News Corp said in a statement announcing this deal.
Trust beneficiaries
Deal comes after legal battle over media empire's control
Rupert's younger children with his third wife Wendi Deng Murdoch, Chloe and Grace, will also be beneficiaries of the new family trust. The trust will hold controlling stakes in Fox Corporation and News Corp. The deal comes after a legal battle over control of the media empire that played out largely behind closed doors in Nevada, a state known for its privacy in family trust disputes.