News Corporation will be forced to wait another six months before making a bid for FTSE 100 broadcaster British Sky Broadcasting after withdrawing its offer.

Earlier in the day, News Corporation announced that it had abandoned plans to buy the stocks it did not own.

The issue was due to be debated by politicians in the UK parliament later in the afternoon with many senior figures calling for the deal to be vetoed.

The company has faced a barrage of criticism since details of a phone hacking scandal perpetrated by former employees of News Corporation-owned newspaper the News of the World emerged.

Chase Carey, deputy chairman, president and chief operating officer of News Corporation, said, 'We believed that the proposed acquisition of BSkyB by News Corporation would benefit both companies but it has become clear that it is too difficult to progress in this climate.

'News Corporation remains a committed long-term shareholder in BSkyB. We are  proud of the success it has achieved and our contribution to it.'

Jeremy Darroch, chief executive of BSkyB, added, 'We are delivering on our clear, consistent strategy and are building a larger, more profitable business for the long term.

'We remain very confident in the broadly based growth opportunity for BSkyB as we continue to add new customers, sell more products, develop our leading position in content and innovation, and expand the contribution from our other businesses.'

He said, 'I would like to commend all our employees for their unrelenting focus throughout the offer period and thank them for their continuing support.'

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