Last week, Comcast – the parent company of Universal Pictures – attempted to hijack The Walt Disney Company’s acquisition of 21st Century Fox’s film and TV assets with an all-cash bid of $65 billion, and now Disney has fired back with its own improved offer.
Reports are circulating that Disney is now offering $71.3 billion in cash and stocks, an increase of almost $19 billion on what Fox originally accepted back in December. Disney has also agreed to take on $13.8 billion of Fox’s debt, increasing the total deal to $85.1 billion.
“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 CEO Bob Iger (via Deadline). “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.”
“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 Rupert Murdoch, Fox’s Executive Chairman. “We remain convinced that the combination of 21CF’s iconic assets, brands and franchises with Disney’s will create one of the greatest, most innovative companies in the world.”
The proposed acquisition includes Fox’s film and television studios – including franchises such as X-Men, Fantastic Four, Avatar, Alien, Predator, Planet of the Apes and Die Hard and the full film library, including distribution rights to the original Star Wars – as well FX, National Geographic, Fox’s regional sports networks, the company’s stake in Sky, and the Star India cable network.
