Disney News

Tag: 21st century fox

  • BREAKING: Disney’s Acquisition of 21st Century Fox is Finally Complete

    BREAKING: Disney’s Acquisition of 21st Century Fox is Finally Complete

    As of 12:02 am this morning Disney’s multi-billion dollar quest to obtain Twenty-First Century Fox’s assets is now officialy complete.

    Last December, Disney made an initial $52 billion offer for the bulk of Mr. Murdoch’s Fox empire. A bidding war broke out with Comcast submitting a $65 billion offer for the assets, but Disney quickly pushed back on Comcast’s offer with a higher bid of $71.3 billion, which Mr. Murdoch and his board quickly accepted. 

    Fox Corp. consists mainly of Fox Broadcasting, Fox Sports and Fox News. However; Disney is acquiring the Fox movie business, including Twentieth Century Fox, Fox Searchlight Pictures and Fox 2000 as well as Twentieth Century Fox Television, FX Productions and Fox21, with shows including “The Simpsons” and “Modern Family.”

    On Friday, Disney revealed the selections made by 21st Century Fox shareholders on whether to receive $38 in stock or cash in exchange for their Fox shares in the transaction. Slightly more than half — 51.57% — chose cash, while 36.65% chose Disney stock. The remaining 11.79% of holdings of roughly 1.8 billion shares outstanding did not make a selection by Thursday’s 5 p.m. ET deadline. Disney had projected that the compensation breakdown in cash and stock would be about 50-50.

    Fox Corp., the Fox assets that are not part of Disney’s $71.3 billion acquisition of Fox’s entertainment assets, began trading as a stand-alone company on Tuesday.

    Last year, Disney Chairman and CEO Bob Iger emphasized the business and strategic benefits of the takeover. “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,” Iger earlier said in a statement. “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 personalized and compelling entertainment experiences to meet growing consumer demand around the world.”

    There was so much more at stake here for Disney than the obvious rights to the X-Men and Fantastic Four brands. They now finally have the distribution rights for the original Star Wars trilogy and prequel trilogy. Most of those rights reverted back to Disney in 2020, but the original 1977 film’s rights would have remained at Fox.

    Another bonus is the Avatar franchise. With an entire land devoted to the franchise holding ownership over it was of great importance to the company. James Cameron’s Avatar is a potentially massive film franchise that Disney already has a vested interest in seeing succeed. It means potentially huge business not just at the movie theater, but also when it comes to merchandise and theme park success.

    Disney now get its hands on the FX channel. And of course the vast, impressive, lucrative library of Fox movies and TV series from past and present, that they can add to their upcoming streaming service Disney+, Hulu or anywhere else the choose.

    Disney also gets Fox’s 30 percent stake in Hulu. Disney already has a 30 percent stake in Hulu, so that arrangement now gives the company majority ownership of the streaming platform. And as Disney prepares to launch its own streaming services in 2019, it could become an actual contender against Netflix by combining its existing content with Fox’s movie, television and sports content.

    The deal that brings an end to era of the ‘Big Six’ studios. Disney Now takes ownership of one of the United States’ largest movie studios in a deal that solidifies their position as media super giant. With this deal Disney now owns seven of the top ten worldwide highest grossing movies of all time.

  • BREAKING: Disney Raises Bid To $71 Billion For 21st Century Fox

    BREAKING: Disney Raises Bid To $71 Billion For 21st Century Fox

    The bidding war for Twenty-First Century Fox’s assets is in full swing and both Disney and Comcast are battling it out in an attempt to gain control of the companies lucrative assets. The Walt Disney Co. isn’t holding any punches either as the company raised its bid for Fox’s assets to $71.3 billion, the companies announced today.

    The two media juggernauts are going head to head with a $65 billion offer coming from Comcast just a week ago, nearly six months after Disney initially bid $52.4 billion for Fox in December. The new bid is $38 a share, up from Disney’s $28 a share offer in December and rivaling Comcast’s $35 a share all-cash bid last week.

    The bidding war was expected as the two media giants battle over Fox’s movie production business as well as FX, NatGeo, Fox’s 30 percent stake in Hulu and its international assets, including Star India and its 39 percent stake in European pay TV giant Sky. 21st Century Fox is the next big prize as the media industry consolidates to survive against competitors like Netflix.

    During a call with investors today, Disney CEO Bob Iger was extremely confident about the potential acquisition. “We believe that we have a much better opportunity — both in terms of approval, and the timing of that approval — than Comcast does in this case,” he said.

    Disney again emphasized the business and strategic benefits of the takeover for investors. “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,” Iger earlier said in a statement. “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 personalized and compelling entertainment experiences to meet growing consumer demand around the world.”

    Disney’s new bid allows Fox shareholders to choose cash or stock. Fox called the new Disney offer “superior” to the Comcast proposal.

  • Comcast Tops Disney’s Bid For Fox With $65 Billion All-Cash Offer

    Comcast Tops Disney’s Bid For Fox With $65 Billion All-Cash Offer

    The bidding war for 21st Century Fox has started. Today, Comcast made a $65 billion all-cash offer for the bulk of 21st Century Fox’s TV and studio assets, topping a previous $52.4 billion bid made by Walt Disney Company.

    If successful, the move would bring together Comcast’s NBC broadcast network and the Universal movie studio with 20th Century Fox, the FX cable network and the regional Fox sports networks. The offer is valued at $35.00 per share in cash, representing a premium of approximately 19% to the value of Disney’s all-stock offer, according to Comcast.

    “We have long admired what the Murdoch family has built at Twenty-First Century Fox,” Comcast CEO Brian Roberts wrote in a letter to Fox’s controlling Murdoch family, telling 21st Century Fox Executive Chairman Rupert Murdoch and his sons Lachlan and James that Comcast “would be the right strategic home” for the parts of the company that are for sale.

    The financial bidding war comes just a day after a U.S. District Judge gave his blessing for AT&T’s to by Time Warner, without any conditions on the $85.4 billion deal. That approval signaled that Comcast might have less trouble getting the deal approved than previously expected.

    If Disney comes out on top of the bidding war, the acquisition could cement Disney CEO Bob Iger’s legacy. Sealing a deal for Fox would cap off a slew of massive acquisitions under his aegis at Disney, which include a $4 billion buy of Marvel Entertainment in 2009; a $4 billion purchase of Lucasfilm in 2009; and $2.58 billion over three years for BAMTech, the streaming-video unit that is meant to power Disney’s various subscription-based video outlets.

    But a deal would benefit Comcast similarly, adding new strength to its Universal movie production operations, its NBC Sports unit, and its cable programming operations.

    Comcast’s $65 billion all-cash offer for Fox’s entertainment businesses is higher than the $60 billion that pundits had been predicting. Experts are expecting Disney to make a counter offer.

    The battle for Twenty-First Century Fox comes as traditional entertainment companies try to amass more properties to compete better with technology companies such as Netflix for viewers’ attention — and dollars.

  • Comcast Challenging Disney For Fox Assets With Estimated $60 Billion Bid

    Comcast Challenging Disney For Fox Assets With Estimated $60 Billion Bid

    You may want to get some pop corn and get ready to watch the show, because the battle for Fox isn’t over. Comcast is jumping back into the race for Fox with Estimated $60 Billion offer.

    On Wednesday, Comcast confirmed that it’s in the “advanced stages” of making an offer. The company provided very few details other than it would it be an all-cash offer. Disney offered Fox a $52.4 billion all-stock deal late last year, and shareholders are expected to vote on the offer this summer. Comcast is hoping to sneak in with this all-cash offer ahead of that vote.

    Last year, even though it exceeded Disney’s offer, Fox’s board rejected Comcast’s original bid, because they believed it was more risky with regulators to get approval. Now it seems that another major deal — Time Warner and AT&T — might actually go through. If it does, Comcast could potentially acquire parts of Fox without alarming regulators.

    The Fox assets — which range from international pay-TV distribution to cable networks and a stake in streaming giant Hulu — are some of the most-prized entertainment properties likely to come on the market for some time, and the Murdoch family’s willingness to sell these assets has come as a surprise to many in the media industry.

    The rare acquisition opportunity, combined with the need to significantly expand overseas and acquire new distribution and content, is adding a dimension of urgency for both Comcast and Disney.

  • Disney Filing Discloses Fox’s Reasons For Rejecting Comcast Bid

    Disney Filing Discloses Fox’s Reasons For Rejecting Comcast Bid

    In a filing made by Walt Disney Co with the Securities and Exchange Commission today, in their efforts to acquire Fox’s film and TV assets, we now know Fox’s reasons for rejecting Comcast’s offer.

    Walt Disney Co announced the purchased most of 21st Century Fox’s assets back in December in a deal worth $52.4 billion. At the time it was well-known that Comcast Corp had also been bidding on the assets, but they eventually bowed out.

    In documents filed with the SEC today, Disney disclosed Fox’s reasons for rejecting the rival offer without disclosing the bidder.

    The documents state that Fox rejected a deal with another entity — that multiple sources have identified as Comcast Corp — due to higher regulatory risks.

  • Disney Buys 21st Century Fox for $52 Billion

    Disney Buys 21st Century Fox for $52 Billion

    Walt Disney Co. will purchase 21st Century Fox in deal that brings an end to era of the ‘Big Six’ studios. Disney Now takes ownership of one of the United States’ largest movie studios in a deal that solidifies their position as media super giant. With this deal Disney now owns seven of the top ten worldwide highest grossing movies of all time.

    Founded in 1935 with the merger of Twentieth Century Pictures and Fox Films, the studio was in its earlier years known for stars like Henry Fonda and Shirley Temple and films including “Gentleman’s Agreement,” “The Sound of Music” and the Liz Taylor-Richard Burton epic “Cleopatra,” which became a cinematic icon but nearly bankrupted the studio during its troubled production. In 1977 it released “Star Wars,” the beginning of a relationship with George Lucas that would span six films and generate $4.6 billion at the box office.

    There was so much more at stake here for Disney than the obvious rights to the X-Men and Fantastic Four brands. They now finally have the distribution rights for the original Star Wars trilogy and prequel trilogy. Most of those rights reverted back to Disney in 2020, but the original 1977 film’s rights would have remained at Fox.

    Another bonus is the Avatar franchise. With an entire land devoted to the franchise holding ownership over it was of great importance to the company. James Cameron’s Avatar is a potentially massive film franchise that Disney already has a vested interest in seeing succeed. It means potentially huge business not just at the movie theater, but also when it comes to merchandise and theme park success.

    Disney now get its hands on the FX channel. And of course the vast, impressive, lucrative library of Fox movies and TV series from past and present, to add to their upcoming streaming service and, probably, to deny those movies and series to Netflix, along with the Disney, Marvel, Pixar, and Lucasfilm properties.

    Disney also gets Fox’s 30 percent stake in Hulu. Disney already has a 30 percent stake in Hulu, so that arrangement now gives the company majority ownership of the streaming platform. And as Disney prepares to launch its own streaming services in 2019, it could become an actual contender against Netflix by combining its existing content with Fox’s movie, television and sports content.

    The Murdoch family will continue to maintain ownership over the sports and news divisions while Disney would get the studio rights to everything on the film side according to the report.

    Only time will tell, but it seems Bob Iger has positioned Disney once again in a pivotal position in the market.