Rupert Murdoch's News Corp is not holding takeover discussions with LinkedIn, a fast-growing online social network for professionals, a source familiar with the matter said on Monday.
The source shot down British media reports that the two were discussing a deal worth about $1 billion. The two companies had been in talks for possible future partnerships, the source added.
News Corp and LinkedIn declined to comment.
At first glance, a deal could make sense. LinkedIn could provide the technology and service underpinnings to connect the business-world readers of Dow Jones publications if Murdoch's $5.6 billion deal for the publisher of The Wall Street Journal closes this year.
"Strategically, it would be a great fit," Goldman Sachs analyst Anthony Noto told the Reuters Media Summit last week. Whether it makes financial sense hinges on price, he said.
A deal would also satisfy Murdoch's instincts to exploit fast-moving opportunities before they peak. News Corp bought MySpace for $580 million in 2005 before the hangout for teenagers exploded to become the world's largest social network.
LinkedIn, the sixth-biggest U.S. social network, logged the biggest growth among its peers in October and topped the expansion rates of the larger MySpace and Facebook, according to Nielsen. LinkedIn attracted about 5 million U.S. visitors in October, up from 1.7 million a year earlier.
IT Solutions Builder TOP IT RESOURCES TO MOVE YOUR BUSINESS FORWARD
Which topic are you interested in?
What is your company size?
What is your job title?
What is your job function?
Searching our resource database to find your matches...