James Murdoch to acquire New York Magazine, Vox Media under Lupa in deal worth $421 million
James Murdoch says his company's acquisition of two media outlets reflects a ‘deep commitment to ambitious journalism’.
James Murdoch has agreed to acquire New York Magazine and the Vox Media podcast network in a deal that will significantly expand his portfolio and stands to boost his influence over news and entertainment.
The deal, valued at more than $US300 million ($A421 million), gives Mr Murdoch control of a storied magazine brand along with a podcast division whose reach among a demographic coveted by advertisers rivals that of cable television news networks, according to several people with direct knowledge of the acquisition.
The politics news site Vox.com is also included.
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By continuing you agree to our Terms and Privacy Policy.“This acquisition reflects both our interest in the forward edge of culture and our deep commitment to ambitious journalism,” Mr Murdoch, the younger son of media mogul Rupert Murdoch, said in a statement announcing the transaction.
His company, Lupa Systems, will buy both properties from Vox Media.
Mr Murdoch and his wife, Kathryn Murdoch, were intimately involved in courting key talent from Vox, including Kara Swisher and Scott Galloway, hosts of the popular Pivot podcast and several other programs on the company’s podcast network.
“I like James and Kathryn,” Ms Swisher said in a phone interview, after the deal was announced.
“Unlike many other media owners these days, they’re savvy about the business and willing to take smart risks.”
Vox’s podcast division was valued much higher than New York Magazine in the transaction, two of the people said, spotlighting the importance of locking in top programs.
Pivot has three years remaining on its contract, which will continue under Mr Murdoch.
Ms Swisher said she met with the investor and his wife several times before the deal came together.
“In a company like Vox, if its talent doesn’t like something, it’s not gonna happen,” Mr Galloway said in an interview.
“James is the only Murdoch that this deal could have happened with.”
Several years ago, Mr Murdoch was locked in a fierce dispute with his father over the editorial direction and future control of the family’s media empire.
He resigned in 2020 from the board of News Corp, the publishing arm of the family’s media empire, citing “disagreements over certain editorial content”.
More recently, Mr Murdoch and two of his sisters, Prudence and Elisabeth, sued their father to block his efforts to change the terms of the family trust that held a significant controlling interest in News Corp and Fox Corp.
Under the revised terms, Mr Murdoch’s older brother Lachlan would secure control over what remained of the family’s media empire, effectively shutting out James and his sisters.
The pitched succession battle played out in a closed Nevada court before the parties settled.
Mr Murdoch and his siblings effectively cashed out their stakes in the family trust, with each receiving $US1.1 billion ($A1.5 billion).
“I always thought James had great instincts on the digital business, but then Rupert would always come in and f... it up,” Ms Swisher said, citing previously unsuccessful digital investments.
“And there was nothing James could do since his father was in charge.”
Representatives for Rupert Murdoch did not respond to a request for comment.
