A representative of the Bancroft family, which hold controlling votes, informed the Board of Directors that it would vote against the proposal submitted by News Corporation to acquire the company.

Approval of a merger under Delaware law requires approval of a majority of the outstanding voting power of the corporation. "Accordingly, the Dow Jones Board of Directors has determined to take no action with respect to the proposal," the company said on Wednesday.

Analysing the reasons for Murdoch's offer which is about 40 times projected earning per share, Forbes magazine says Dow Jones made $386 million last year with an impressive 62 per cent gross margin that exceeds those of major competitors like New York Times Co., Gannett and Washington Post Co.

If Murdoch just maintains the company at status quo, Forbes estimates that his $5 billion would effectively yield a 7.7 per cent annual return.

He could also transfer some of Dow Jones' resources and brand power into his to-be-launched cable business cable new channel which is set to take on General Electric's CNBC later this year.