News Corp. Plans to Name Carey to Head Satellite Unit

News Corp., the media company controlled by Rupert Murdoch, plans to name Chase Carey to head its new satellite television company, according to a person close to News Corp.

Carey has been co-chief operating officer of the world’s fourth-biggest media company since 1996 and has been a key figure in guiding its global strategy. He also serves in the five-person office of the chairman and is a member of News Corp.’s board.

News Corp. plans to combine its satellite businesses, including Asia’s Star TV and its 40% stake in British Sky Broadcasting, into a unit that may sell shares to the public. The company is expected to announce the management structure of the unit, which has been dubbed Platform Co. or PlatCo, in the next week.

A News Corp. official declined to confirm or deny that Carey will head the unit, which was reported Monday by the Wall Street Journal, citing people familiar with the situation.

News Corp. has said the value of its satellite businesses is being underestimated by investors, and the creation of a separate “currency” for those assets would serve to highlight them.

News Corp.’s American depositary receipts fell 6 cents to close at $50.69 on the New York Stock Exchange.

The company is expected to file a PlatCo prospectus with the Securities and Exchange Commission by the end of this month.

News Corp. is in a particularly good position to take advantage of the expected growth in demand for satellite services because of its far-reaching satellite businesses, which serve much of the world’s population, with the exception of the United States.

Likely to be part of the new unit are News Corp.’s 36% of Sky Latin America; its 25% of Australia’s Foxtel pay-TV service; its 40% stake of British Sky Broadcasting, Europe’s second-largest pay-TV company; and Asia’s Star TV, analysts say.

Carey has been a rising star at News Corp. since joining the company as an executive vice president in 1988. He served as News Corp.’s chief financial officer and became chief operating officer in 1992, overseeing the expansion of Fox Entertainment Group, including the 20th Century Fox film studio, the Fox broadcast network and television stations. He later became co-chief operating officer with Peter Chernin, who is also News Corp.’s president.

Carey is one of the main negotiators in News Corp.’s acquisition activity, having led the talks for Fox to acquire broadcast rights to the National Football League, National Hockey League and Major League Baseball. He also has helped News Corp. expand in television in Asia and Latin America.