This story was written by Rafat Ali.
Dow Jones, now part of News Corp (NYSE: NWS). has puts its stock-market indexing business for sale, reports DJ-owned WSJ. Along with this comes the possibility of changing the name of the index from Dow Jones Industrial Average, something that has been considered in the past by the company. The process is being led by Goldman Sachs, and could result in a JV, sale, or…well…nothing. The index was introduced in 1884. Among the possible suitors, the story says, includes MSCI Inc. a former unit of Morgan Stanley specializing in building market indices, Bloomberg, and the NYSE Euronext stock exchange. Based on some guesstimates, the story says the value of the index unit may be around $700 million, which at current market conditions, seems like an unlikely price for it.
More than that, this indicates that DJ under News Corp may be willing to sell of other assets in its portfolio. Murdoch’s company bought it in 2007 for $5.7 billion, and had to write-off a big chunk—$2.8 billion—earlier this year. Any ideas which ones could be sold, besides the obvious ones like the local media unit? The full list of DJ businesses here.
By Rafat Ali