Comcast bids $65B for Fox assets, surroundings the stage for a wrestle with Disney

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Comcast made valid on its plans to way a proposal for 21st Century Fox’s movie and TV assets currently, with a cash exclaim of $sixty 5 billion, or $35 per share.

That’s 19 % bigger than the $Fifty two.Four billion that Disney agreed to pay in December.

This follows the outdated day’s U.S. courtroom approval of the merger of AT&T and Time Warner, which was once extensively expected to lead Comcast to way a brand contemporary exclaim for Fox and, within the long-term, home the stage for broader consolidation between ISPs and media firms. (That is the put I remind you that TechCrunch is owned by Oath, a digital media subsidiary of Verizon.)

In a letter to Fox executives (namely Rupert, James and Lachlan Murdoch), Comcast CEO Brian Roberts wrote that after meetings final year, his employees was once convinced that Comcast would possibly possibly presumably be “the valid strategic home” for the Fox assets, and that “we had been dissatisfied when 21CF made up our minds to enter into a transaction with The Walt Disney Company, even supposing we had supplied a meaningfully greater note.”

“In light of the outdated day’s decision within the AT&T/Time Warner case, the restricted time ahead of your shareholders’ assembly, and our right persevered passion, we’re comfy to present a brand contemporary, all-cash proposal that completely addresses the Board’s mentioned concerns with our prior proposal,” Roberts mentioned.

This would possibly possibly presumably steered a fight between Comcast and Disney . The assets at stake consist of the Fox movie studio (which owns the Avatar franchise, the movie rights to the X-Males and Improbable Four and the original Star Wars), its TV studio, its cable networks and its stake in Hulu.

In the letter, Roberts moreover mentioned a Comcast-Fox acquisition is “as or likely to salvage regulatory approval than the Disney transaction” and that Comcast would reimburse Fox for the $1.5 billion breakup rate with Disney.

Change: Fox sent out a observation confirming that it has bought the exclaim. It moreover mentioned, “21st Century Fox has no longer but made a decision, in light of Comcast’s proposal, as to whether or no longer this would possibly possibly moreover prolong or adjourn” its July 10 stockholder assembly to discuss the Disney acquisition.

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