The good thing about being rich is that you're rich. The bad thing about being rich is that everyone assumes you do things for a reason. Hence the interest in Rupert Murdoch's decision to purchase $20.2 million worth of non-voting News Corp. stock this week. Murdoch, of course, is News Corp.'s chairman and CEO. 1.2 million shares of Class A News Corp. stock--while a windfall for your average Joe 18 pack--doesn't seem to do much for the rich Australian who literally owns the place. But did he really need to buy that big of a chunk on top of it? Did anything in particular prompt this addition?
A News Corp. spokesman tells The Wall Street Journal (which Murdoch also owns and paid $5 billion more for) that the $20 investment is "a sign of his belief in the future of the company." Considering he just spent $30 million developing a newspaper only those with an iPad can read, we're inclined to take him at his word.
Of course, we also learn today from the L.A. Times that Murdoch is about to buy his daughter Elisabeth Murdoch's "London-based television production company, Shine Group, for about $700 million." Here's the explanation the Times offers:
The purchase is being driven, in large part, by Murdoch's desire to have his second-eldest daughter join the company in a high-level role. His youngest son, James, already has a key position, running News Corp.'s European and Asian operations.
Is it possible Murdoch the Elder is just on a spending spree?
This article is from the archive of our partner The Wire.
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