News Corp's board of directors has announced the split of its entertainment business from its publishing empire. The result would be two separate companies.

In order to avoid a hostile takeover bid during the period of the split, the company has instituted a shareholder rights plan designed to prevent any issues that would come up with the expected volatile trading period before completion of the split.

According to the media conglomerate, the projected date of completion of the separation of the two companies would be June 28. The split would be 21st Century Fox, which would manage the television and movie properties of the company. The publishing empire would retain the name News Corp, would focus its business on newspaper and publishing properties. 

Both companies would be publicly traded under separate ticker symbols. In order to provide a financial cushion for the split, the board also approved a buyback program for its shares worth US$500 million.

There is also what is called a poison pill, a shareholder rights plan that would make it prohibitively expensive for any investor to purchase more than 15% of the voting shares in either or both companies after its is split up. The plan would allow existing stockholders the right to purchase new shares issued by the company at half price until the 15% share ceiling is reached.