Murdoch family resolves trust dispute, divides News Corp and Fox assets

NEW YORK - News Corporation (NASDAQ:NWS, NWSA), the $16.9 billion media conglomerate whose shares have gained over 10% year-to-date, announced Monday that the Murdoch Family Trust has reached a resolution to end all litigation related to the trust, resulting in a significant restructuring of the family’s media holdings. According to InvestingPro analysis, the company currently trades above its Fair Value, suggesting investors should carefully monitor this development.

Under the agreement, new trusts will be established for Lachlan Murdoch, Grace Murdoch, and Chloe Murdoch, while Prudence MacLeod, Elisabeth Murdoch, and James Murdoch will no longer be beneficiaries of any trust holding shares in News Corp or Fox Corporation.

The departing beneficiaries will receive cash consideration partly funded through the public sale of approximately 14.2 million News Corp Class B shares and 16.9 million Fox Corporation Class B shares previously held by the trust.

Following these transactions, LGC Holdco, LLC, owned by the remaining beneficiary trusts, will control approximately 33.1% of News Corp’s Class B common stock and 36.2% of Fox Corporation’s Class B common stock. Voting control of these shares will rest solely with Lachlan Murdoch through his appointed managing director until 2050.

The departing beneficiaries will sell their personal holdings in both companies within six months and will be subject to a long-term standstill agreement preventing them from acquiring shares or taking certain actions regarding the companies.

Rupert Murdoch will continue in his role as Chairman Emeritus of News Corp, according to the press release statement.

News Corp’s board expressed support for the resolution, stating it believes Lachlan Murdoch’s leadership will remain important to the company’s strategy and success.

In other recent news, News Corp announced its Q4 2025 earnings, showcasing a modest increase in revenue and notable improvements in profitability. The company’s strategic initiatives, particularly in digital innovation and cost management, played a significant role in these positive results. Additionally, News Corp’s future guidance remains cautiously optimistic, reflecting its ongoing commitment to strategic growth. In another development, Realtor.com appointed Janakiraman Karthikeyan as its new Chief Technology Officer. Karthikeyan will be responsible for overseeing the company’s technology vision and strategy to align with its mission and growth objectives. Meanwhile, Presight has signed a memorandum of understanding with Dow Jones Factiva to explore the development of AI-native risk and compliance solutions. This collaboration aims to leverage Dow Jones Factiva’s risk intelligence with Presight’s AI infrastructure, targeting financial institutions, regulators, and sovereign entities. These recent developments highlight strategic shifts and leadership changes across these companies.

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