BSkyB announces deal to buy Sky Italia, majority stake in Sky Deutschland

IndustriesAssociated Press

London-based satellite broadcaster BSkyB has announced agreements to purchase Sky Italia and 57 percent of Sky Deutschland from 21st Century Fox.

The deal is valued at 5.35 billion pounds ($9.1 billion). BSkyB's largest shareholder is Rupert Murdoch, who holds just over 39 percent of the company.

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The company said Friday the deal would create a multinational pay TV provider with 20 million customers and unite pay TV businesses in three of Europe's four biggest markets.

The company said total cash payments to 21st Century Fox would be 4.9 billion pounds and that BSkyB would also transfer its 21 percent stake in the National Geographic Channel.

BSkyB said it was paying 2.45 billion pounds for Sky Italia and 2.9 billion pounds for its stake in Sky Deutschland.