Rediff.com  » Business » Disney to buy parts of 21st Century Fox for $52.4 bn

Disney to buy parts of 21st Century Fox for $52.4 bn

December 14, 2017 18:45 IST

Fox shareholders will receive 0.2745 Disney shares for each share held.

Walt Disney Co on Thursday said it had reached a deal to buy 21st Century Fox for $52.4 billion in stock, as the entertainment company seeks to tackle growing competition from Netflix and Amazon.com.

 

Disney will acquire Fox’s film and television studios - that produce the blockbuster Marvel superhero pictures and the “Avatar” franchise, as well as hit TV shows such as “The Simpsons” - its cable entertainment networks and also its international TV businesses.

According to media reports, 21st Century Fox's television stations and Fox News channel will be spun off before the sale.

Fox shareholders will receive 0.2745 Disney shares for each share held.

This is equal to $29.50 per share for the assets that Disney is buying.

"The acquisition of this stellar collection of businesses from 21st Century Fox reflects the increasing consumer demand for a rich diversity of entertainment experiences that are more compelling, accessible and convenient than ever before," Disney's chief executive Robert Iger said in a statement.

Photograph: Benoit Tessier/Reuters

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