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Fox accepts Disney's upped $71.3 Billion dollar acquisition bid over Comcast's deal

Disney Chairman and CEO Bob Iger
image credit : Wikimedia/Nehrams2020 via CC License

As of recently, The Fox media empire which has been prepping for a sale with different bids from both media titans Comcast and Disney has now accepted Disney's just recent upped bid of $71.3 Billion in both cash and stock according to a recent report from Bloomberg.

This deal by Disney represents the company's largest media acquisition surpassing its 2006 acquisiton of Pixar Studios for $7.4 Billion along with a huge 2001 acquisition of Fox Family Worldwide for $5.3 Billion and a 2012 acquisition of Star Wars producer LucasFilm for $4.1 Billion.

This acquisition move began after Disney proposed to acquire Fox's assets for $52.4 Billion December last year and with competing deals from Philadelphia based Comcast which brought an acquisition deal of $65 Billion, Disney had to boost its acquisition price to amount to $38 a share which is higher than the $35 a share bid by Comcast and Fox has now accepted this deal saying it offers "offers more flexibility and other enhancements" than Comcast's deal.




In this deal which will see the combined companies have a 39% theatrical market share according to a BITG research analyst, Disney is now acquiring the Rupert Murdoch led company in a move which will see the entertainment giant gain over 300 channels, 22 regional sports networks, Control over streaming service Hulu and a huge share in streaming device manufacturer Roku.

Disney would also gain control which Fox currently holds over portions of the Marvel Franchise including the X-Men, Deadpool and Avatar brands which represents a very good addition to its already vast consumer entertainment network.

This deal also gives Disney an edge against heavy media competitors Netflix and also Amazon which are currently pouring huge resources into its movie production and video streaming units which count a huge number of paying customers and users.




Along with this acquisition, Fox is retaining some assets which would be re-grouped and put under a media company which would be run by a team of its current CEO Rupert Murdoch and executive co-chairman son Lachlan Murdoch.

This deal represents one of the biggest made so far in the media space and also an in-depth and huge addition to Disney's entertainment network, Disney has been on a continued growth level since Bob Iger became its CEO in 2005 and Chairman in 2012 after ascending from his previous position of company COO which he helmed in the year 2000.

Disney's share price is currently up and trading for $107.11 (as of writing) in the stock market which thereby gives the entertainment company a current market value of over $161 Billion.


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