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News Corp finalises Murdoch Family Trust settlement: What it means for investors

News Corp shares have risen 23% in the past 12 months.

Posted by
Laura Stewart

Author bio

Laura Stewart is a Finance Editor at The Motley Fool, where she covers Australian and international equity markets. She joined the company in 2022, following a career transition from legal advisory work in Southeast Asia into the investment industry.

Prior to her current editorial role, Laura spent three years as an Equity Analyst and Writer, producing investment research across the ASX, NYSE, and NASDAQ. Her coverage included small-cap growth companies, thematic investment ideas, and high-quality U.S.-listed businesses.

Laura holds a Master of Applied Finance and brings additional expertise in accounting, taxation, and estate and wealth planning from her postgraduate studies. She also has a background in law and communications, which supports her analytical and reporting work in financial markets.

Outside of work, she enjoys spending time in the Adelaide Hills with her flock of sheep.

Education

Laura holds a Bachelor of Laws, a Bachelor of Communication (Journalism), and a Bachelor of Commerce with majors in Accounting and Corporate Finance. In 2025, she completed a Master of Applied Finance at the University of Adelaide, receiving postgraduate awards in Accounting Concepts & Methods, Ethical Principles in Accounting & Finance, Real Estate Valuation & Investment, and Tax, Estate & Wealth Planning.

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Published

The News Corporation (ASX: NWS) share price is in focus today after the company announced the mutual resolution of legal proceedings related to the Murdoch Family Trust, resulting in the termination of all litigation. Key highlights include the establishment of new trusts and a change in share ownership structure.

two men in suits shake hands at the top of a shined wood boardroom table.

Image source: Getty Images

What did News Corp report?

  • Legal dispute related to the Murdoch Family Trust (MFT) has been resolved, with all related Nevada litigation now terminated
  • New trusts will be set up for the benefit of Lachlan Murdoch, Grace Murdoch and Chloe Murdoch
  • Departing beneficiaries—Prudence MacLeod, Elisabeth Murdoch and James Murdoch—will receive cash consideration partly funded by the sale of around 14.2 million News Corp Class B shares
  • After these transactions, LGC Holdco will own about 33.1% of News Corp's Class B shares and less than 0.1% of Class A shares
  • Departing beneficiaries will exit all News Corp and Fox Corporation interests within six months

What else do investors need to know?

Alongside the resolution, LGC Holdco, a new entity owned by the newly established trusts, will take over all News Corp and Fox shares formerly held by the MFT. Departing beneficiaries will also be bound by a long-term agreement that stops them and their affiliates from reacquiring any shared ownership or taking significant action in News Corp or Fox Corporation.

Rupert Murdoch remains in his role as Chairman Emeritus. The trusts for the remaining beneficiaries will have a specified term expiring in 2050, and voting control over the shares will rest exclusively with Lachlan Murdoch as the managing director of LGC Holdco.

What's next for News Corp?

With the resolution of this longstanding trust dispute, News Corp is positioned to move ahead with a clear ownership and governance structure. The move consolidates voting power for Lachlan Murdoch, which the board hopes will bring stability and renewed focus.

This clarity could provide confidence for shareholders and allow management to focus on core business objectives. The company remains committed to its global media, real estate, and publishing growth strategies.

News Corp share price snapshot

Over the past year, the News Corp shares have risen 23%, far outpacing the S&P/ASX 200 Index (ASX: XJO) which has risen 10%.

View Original Announcement

 Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.  This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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