In last few months we have been going to and fro between the Disney and Fox merger deal. The deal which was looking perfectly in place for the merger a few days back took a sharp turn when Comcast announced that it would be making a counter offer to acquire the rights of Fox’s intellectual properties. After this announcement, every market analyst thought that there is nothing to worry about as last year itself Fox rejected the Comcast offer to acquire it. However, when Comcast made the official bid of $65 billion, and Fox owner Rupert Murdoch pointed out that he is very much interested in any deal topping the Disney’s because, at the end of the day, the point that matters the most is good business. A slight tension started building up in the Disney camp, and what made it worse was that ‘Comcast made an all-cash deal. Hence this made the Comcast bid a more lucrative one.
After the bid of $65 billion markets showed a positive sign and Fox shares saw a significant jump. Alongside this, Wall Street analysts supported Fox’s move to consider Comcast’s offer. However, fans of Marvel around the globe were bugged with this because if Fox decides to go with Comcast, it will shatter their dream of seeing all the Marvel characters in one universe. Till this moment Disney officials maintained silence which pointed towards that Disney is sorting things out on how to deal with this situation.
And yesterday Disney finally made a new offer taking it’s earlier bid to substantially new high with $71.3 billion. This move by Disney looks like it will be a done deal. The bid comes with a $38-per-share stock price, which is about $10 more than the company offered in its initial bid late last year. Along with that Disney’s offer comes with the agreement to take on Fox’s net debt, which increases the overall total of the transaction to $85.1 billion. No one had expected so much back and forth in this deal even Bob Iger, Disney’s Chairman and Chief Executive, however, company is maintaining a positive lookout and will do everything possible to acquire Fox.
Talking about the current ongoings Bob Iger said “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,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.”
Currently, Fox has accepted the Disney’s updated offer and it looks like the deal is going through between Disney and Fox. However, there is a chance that Comcast will come back with a new offer that sweetens the deal further. Till now, Disney has an upper hand as Fox looks more interested in going with Mickey Mouse because, in the long run, Fox’s assets will find their true value at Disney World. So, overall its a good news for all the Marvel fans that Disney and Fox merger is going ahead and who knows we may see an introduction to X-Men in the post-credits scene of Avengers 4.
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