Published By : 14 Jun 2018 | Published By : QYRESEARCH
Comcast gave a legal status to its US$65.0 bn bid for 21st Century Fox on Wednesday. It is said to be a remarkable attempt to stop Disney’s US$52.4 bn deal in its tracks, which was proposed for Fox’s same TV and film assets in December. The company’s move was made just a day after the approval of the AT&T-Time Warner merger. This could be a bigger war of high stakes between Comcast and Disney, two of the larger media and telecom players. Comcast has expressed its desire to secure Fox’s stake in Hulu, in spite of its own stake in the 20 mn viewer-streaming service.
Comcast Agreed to Cover US$1.5 Bn Fee for Fox’s Breakup with Disney
Comcast or Disney, whichever company wins the deal, will be able to multiply its footprint abroad as Fox gives up its stake in Sky. Fox’s pending deal with the European broadcaster may pass off to Disney, although Comcast is independently bidding for the same stake. Sky’s ownership may also split up between the two companies bidding for its stake. However, the Fox broadcasting network, Fox Sports national cable channels, Fox News, and few other properties could be kept by the company’s Rupert Murdoch. These may be spun off into a new firm.
If Fox’s board decides that Comcast has a better deal, Disney will only have five days to come up with a counter deal. Mike Cavanagh, Comcast CFO said that the company thinks the deal is closed, and that its money’s where its mouth is.