RTTNews | Dec 27, 2021 08:59AM EST

08:58 Monday, December 27, 2021 (RTTNews.com) - Media major News Corporation (NWS, NWSA, NWSLV), Monday said it agreed to buy the Base Chemicals business from S&P Global and IHS Markit for $295 million in a cash transaction.

The acquisition agreement was reached following the UK Competition and Markets Authority request that IHS Markit divest Base Chemicals as part of the merger with S&P Global. The acquisition is subject to the completion of the said merger.

News Corp expects to receive a step up in tax basis resulting in an annual deduction over the next 15 years with an estimated tax benefit of approximately $46 million on a present value basis. Base Chemicals would become part of Dow Jones' Professional Information Business, alongside OPIS, the energy and renewables data and information business, also being acquired from S&P Global and IHS Markit, as announced in August.

Dow Jones is a division of News Corp. Base Chemicals is known for its pricing data, insights, analysis and forecasting capabilities for the world's most important base chemicals delivered through its Market Advisory and World Analysis services.

In its most recent fiscal year, ended November 30, 2021, Base Chemicals was expected to generate approximately $65 million in revenues. Base Chemicals' revenues are geographically diverse, with more than 1700 customers across a wide range of industries, and approximately 185 employees.

Gibson, Dunn & Crutcher LLP is serving as legal counsel for News Corp in the transaction.

Shares of News Corporation (NWSA) closed Friday's trading at $22.33, up $0.54 or 2.48 percent from previous close.

Read the original article on RTTNews ( https://www.rttnews.com/3251582/news-corp-to-acquire-base-chemicals-in-295-mln-cash-deal.aspx)

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2021 RTTNews.com All Rights Reserved