NEW YORK and LOS ANGELES, Aug. 4,
2019 /PRNewswire/ -- Fox Corporation (Nasdaq: FOXA,
FOX) today announced the entry into a definitive merger agreement
for the proposed acquisition of 67% of the equity in Credible Labs
Inc. (ASX: CRD) ("Credible"), a leading consumer finance
marketplace in the U.S. The price per CHESS Depositary Interests of
$AUD 2.21 in cash represents a 31% premium to Credible's closing
price on the day prior to Fox's initial May
29 proposal. Following the equity purchase of
approximately $USD 265 million, FOX will commit up to $USD 75
million of growth capital to Credible over approximately
two years.
Credible delivers a differentiated and personalized experience
that enables consumers to compare instant, accurate pre-qualified
rates from multiple financial institutions across student loans,
personal loans and mortgages, helping consumers save money and make
better financial decisions.
Fox Corporation Executive Chairman and Chief Executive Officer
Lachlan Murdoch said: "The
acquisition of Credible underscores Fox Corporation's innovative
digital strategy that emphasizes direct interactions with our
consumers to provide services they want and expand their engagement
with us across platforms. Credible, which has tremendous synergy
with core brands such as FOX Business and FOX Television Stations
and will benefit from our audience reach and scale, will drive
strategic growth, further develop our brand verticals and deepen
consumer relationships."
As part of the transaction, and subject to certain approvals
from the Australian Securities Exchange ("ASX"), Credible Founder
and CEO, Mr. Stephen Dash, will
exchange shares equal to 33% of Credible's outstanding common stock
into units of a newly created FOX subsidiary. Mr. Dash will
continue to serve as CEO of Credible.
Mr. Dash commented: "Fox Corporation's record of innovation and
focus on audience engagement will further enhance Credible's
position as a leading consumer finance marketplace in the United States, creating opportunities for
organic growth and the expansion of the Credible platform.
Credible's industry-leading user experience, combined with FOX,
will provide greater impact and scale for consumers."
The transaction, which is expected to close in the fourth
quarter of this year, is conditioned on the receipt of a majority
vote of all Credible shareholders, as well as a majority vote of
all shareholders other than Mr. Dash and his affiliates, and is
subject to the receipt of regulatory approvals (including certain
approvals from the ASX) and other customary closing conditions.
Credible joins Fox Corporation's diverse digital offerings that
also include exclusive content via the popular FOX Nation service,
the pay-per-view functionality on the FOX Sports app, live and on
demand content on FOX Now, and leading news sources including
FOXNews.com, FOXBusiness.com and the websites of local FOX
Television Stations.
Kirkland & Ellis LLP and Herbert Smith Freehills are serving
as U.S. and Australian legal counsel, respectively, to Fox
Corporation.
About Fox Corporation
Fox Corporation produces and distributes compelling news, sports
and entertainment content through its iconic domestic brands
including: FOX News, FOX Sports, the FOX Network, and the FOX
Television Stations. These brands hold cultural significance with
consumers and commercial importance for distributors and
advertisers. The breadth and depth of our footprint allows us to
deliver content that engages and informs audiences, develops deeper
consumer relationships and creates more compelling product
offerings. FOX maintains an impressive track record of news,
sports, and entertainment industry success that will shape our
strategy to capitalize on current strengths and invest in new
initiatives. For more information about Fox Corporation, please
visit www.FoxCorporation.com.
About Credible
Credible (ARBN: 621 866 813) is a U.S. company based in
San Francisco which operates a
consumer finance marketplace that helps consumers save money and
make better financial decisions. Credible has developed a
proprietary technology platform that is integrated with credit
bureaus and financial institutions. Credible has developed a
differentiated, and personalized user experience that enables
consumers to compare instant, accurate pre-qualified rates from
multiple financial institutions for student loans, personal loans
and mortgages. For more information, please visit:
www.credible.com
Cautionary Note Regarding Forward Looking Statements
This news release contains forward-looking statements and
information within the meaning of the Private Securities Litigation
Reform Act of 1995, including statements and information relating
to the Fox Corporation's proposed acquisition of Credible equity.
Words such as "may," "will," "should," "likely," "anticipates,"
"expects," "intends," "plans," "projects," "believes," "estimates,"
"outlook" and similar expressions are used to identify these
forward-looking statements. These statements are based on
management's current expectations and beliefs and are subject to
uncertainty and changes in circumstances. Actual results may vary
materially from those expressed or implied by the statements in
this news release due to changes in economic, business,
competitive, technological, strategic and/or regulatory factors and
other factors affecting the operation of the business of Fox
Corporation. More detailed information about risk factors affecting
Fox Corporation is contained in the documents Fox Corporation has
filed with or furnished to the Securities and Exchange Commission
(the "SEC"), including its Registration Statement on Form 10, filed
with the SEC and declared effective by the SEC on February 5, 2019, and subsequent Quarterly
Reports on Form 10-Q.
Investors are cautioned not to put undue reliance on forward
looking statements or information. Statements and information in
this news release speak only as of the date they were made, and Fox
Corporation does not undertake any duty to update or release any
revisions to any forward looking statement made in this news
release or to report any events or circumstances after the date of
this news release or to reflect the occurrence of unanticipated
events or to conform such statements and information to actual
results or changes in expectations, except as required by law.
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SOURCE Fox Corporation