James Packer sells to Rupert Murdoch in News Corp's Oz TV coup

Rupert Murdoch, the man who bet his empire on the future success of Sky TV and won, has expanded his television interests with a A$2bn (£1.3bn) bid for the Australian sports broadcaster Consolidated Media Holdings.

His News Corp is paying $3.50 a share to acquire Consolidated, a deal that will increase its stake in the pay TV business Foxtel to 50 per cent and give it 100 per cent of the Fox Sport's business that has broadcast rights to the popular Australian Football League.

The deal echoes News Corp's strategy in America and the UK, where it has expanded its TV assets.

Mr Murdoch is buying Consolidated from James Packer, the billionaire son of the late tycoon Kerry Packer. James is exiting the media industry in favour of casinos. The other 50 per cent of Foxtel is owned by the phone group Telstra.