Disney’s content will now get even bigger and better as they are all ready to take possession of 21st Century Fox by 12:02 a.m. ET on 20th March. The $71 billion acquisition deal includes many of the best works produced in the world of motion pictures and with time, the parent company aims to push the boundaries of film making by combining both the reputable Hollywood studios.
While finally announcing the remarkable acquisition, Disney chairman-CEO Bob Iger stated that despite being long-due, this move will definitely assist the company in “increasing international footprint” and “expanding the direct-to-consumer offerings”. By doing so, they also want to make sure that Disney enters the streaming service industry with a strong hold over content.
“This is an extraordinary and historic moment for us—one that will create significant long-term value for our company and our shareholders,” said Robert A. Iger, Chairman and Chief Executive Officer, The Walt Disney Company. “Combining Disney’s and 21st Century Fox’s wealth of creative content and proven talent creates the preeminent global entertainment company, well positioned to lead in an incredibly dynamic and transformative era.”
Once Disney and Fox settle down, each of Fox’s shareholders will get $38 per share in cash or stocks and the new owners will also issue 343 million new DIS shares on behalf of Fox.
The acquisition was first announced back in 2017 when it got valued at $52.4 billion. But all thanks to rival bids by Comcast and ever-increasing value of classic assets (in the form of films too) that the deal was finally sealed at $71.3 Billion in July 2018. Now that they have got the approval from Mexican regulations as well, Disney will start promoting Fox’s content, as an immediate effect.
Assets involved in the deal includes massive studios like Twentieth Century Fox, Fox Searchlight Pictures, Fox 2000 Pictures, Fox Television, and Fox Animation.
According to an official press release from 21st Century Fox:
“Twenty-First Century Fox, Inc. (“21CF”) (NASDAQ: TFCFA, TFCF) announced that it has today completed the distribution of all issued and outstanding shares of Fox Corporation (“FOX”) common stock to 21CF stockholders (other than holders of the shares held by subsidiaries of 21CF) on a pro rata basis (the “Distribution”).
21CF and FOX are now each a standalone, publicly traded company. FOX Class A common stock and FOX Class B common stock are now listed on the Nasdaq Global Select Market (“Nasdaq”) under the symbols “FOXA” and “FOX,” respectively.
21CF Class A common stock and 21CF Class B common stock, which were formerly listed on Nasdaq under the symbols “FOXA” and “FOX,” respectively, are now listed on Nasdaq under the symbols “TFCFA” and “TFCF,” respectively.
The Walt Disney Company’s (“Disney”) acquisition of 21CF will become effective at 12:02 a.m. Eastern Time tomorrow, March 20, 2019.”
Over the years, Disney has emerged itself into a brand associated with producing quality content and for a similar purpose, the company has been at its best with business strategies. From building theme parks around the world to acquiring Pixar, 21st Century Fox and even Disney+ in the near future, one can expect that the world will soon be pretty much dominated by Disney.
Further reports have also revealed that Fox Corp will still operate as a separate company, but there is also a strong probability that this acquisition has certainly put more than 4000 jobs on risk.
I’m just waiting for that massive Disney film and TV library now!