Disney raised its offer to $71,3 billion ($38 a share) to secure the assets put up for sale by the 21st Century Fox, which include Britain's Sky, Star India, film and television studios, dedicated entertainment cable networks and a stake in streaming video service Hulu.
Last December, Disney had signed a deal with Fox for these same assets. At the time, the deal was priced at $52,4 billion in shares (or $28 per share).
But then the telecommunications giant got in the way Comcast, that last week has launched a cash offer $65 billion or $35 per stock. Fox called the new proposal received from Disney "superior".
“We are extremely proud of the businesses we have developed at 21st Century Fox,” he said Rupert Murdoch, executive chairman of Fox – and we strongly believe this combination with Disney will unleash even more shareholder value as the new Disney continues to set the pace at a dynamic time for our industry. We remain convinced that the combination of the assets, of the iconic brands (of Fox, ed) with those of Disney will create one of the most innovative and great companies in the world".
Bob Iger, CEO of Disney, explained that the operation, if it goes through, would allow it to create better content, expand its direct-to-consumer offerings and its international presence as well as "ensure more personalized entertainment experiences to meet the growing consumer demand around the world.
At this point the lights move to the meeting of the board of directors of Fox expected today and during which the offer of Comcast should be discussed. Fox explained that the board has not yet come to the conclusion that the unwanted proposal from the parent company of NBCUniversal could be a "superior proposal" under the terms of the agreement signed with Disney. In the pre-market on Wall Street, Disney shares rose by 1,9%, Comcast's shares increased by 0,7% and Fox's shares rose by +6,88%.
