Friday 22 June 2018

Fox-Disney deal: Comcast out as Fox accept Disney's revised $71.3 bn offer

Walt Disney will acquire 21st Century Fox entertainment assets in a revised $71.3 billion deal.
According to various media reports, Disney has declined to take Comsat’s $65 billion bid. Rupert Murdoch & Co has reportedly accepted the Walt Disney Co’s updated $71.3 billion offer for the media assets of 21st Century Fox.
Disney had returned with an amended agreement with Rupert Murdoch’s media giant for $71.3 billion, split evenly between cash and stock after Comcast had made a $65 billion all-cash bid for Fox’s entertainment assets at its own.
Disney under the revised deal is expected to pay a total of approximately $35.7 billion in cash and issue approximately 343 million new shares to 21st Century Fox shareholders, representing about a 19% stake in Disney on a pro forma basis.
“The acquisition of 21st Century Fox will bring significant financial value to the shareholders of both companies, and after six months of integration planning we’re even more enthusiastic and confident in the strategic fit of the assets and the talent at Fox,” said Disney Chairman and CEO Robert Iger in a press release.
“At a time of dynamic change in the entertainment industry, the combination of Disney’s and Fox’s unparalleled collection of businesses and franchises will allow us to create more appealing high-quality content, expand our direct-to-consumer offerings and international presence, and deliver more personalised and compelling entertainment experiences to meet growing consumer demand around the world.”
“We are extremely proud of the businesses we have built at 21st Century Fox, and firmly believe that this combination with Disney will unlock even more value for shareholders as the new Disney continues to set the pace at a dynamic time for our industry,” said Fox Executive Chairman Rupert Murdoch in a separate press release.
Disney’s higher bid keeps the dream of a massive Marvel crossover alive. Disney, which owns the film rights to the Avengers, could unify the comic book universe by bringing in-house Fox’s rights to the X-Men and the Fantastic Four.
Fox-Disney deal: Comcast out as Fox accept Disney's revised $71.3 bn offer

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