Post by The Ultimate Nullifier on Nov 16, 2017 17:41:29 GMT -6
deadline.com/2017/11/comcast-21st-century-fox-acquisition-talks-report-1202210244/
Comcast Has Approached Fox To Discuss Acquisition: Reports
Comcast has approached 21st Century Fox to express interest in a possible acquisition, the Wall Street Journal reports, citing people familiar with the matter.
The cable giant wants to explore talks to buy Fox’s movie and television studio, some of its cable networks and its stakes in satellite TV provider Sky, Star India and the Hulu streaming service. The Fox Broadcasting Co., local television stations, the Fox News Channel and Fox Sports would not be included in a possible sale.
The Walt Disney Co. had previously explored acquiring these same assets, though negotiations have recently broken down.
The Journal report followed initial word on CNBC. Reuters has also confirmed the discussions, saying talks may be about assets, as in the Disney scenario.
Fox shares were up 5% to $30.90 in after-market trading, with Comcast up a fraction at $37.35.
Comcast and Fox did not have any immediate response to Deadline’s request for comment.
The news comes during a frenzy of merger discussions in the media, as well as a pregnant moment as the industry awaits word of the AT&T-Time Warner merger, which has been held up by the Justice Department.
As in that case, it isn’t clear that a deal could go through if certain assets are included. The production and network divisions of Disney and Comcast are overlapping, so some carve-outs or divestitures would be necessary for a deal to proceed.
Fox’s executives used Wednesday’s annual shareholders meeting in Century City to trumpet the value of its assets. Executive Chairman Rupert Murdoch bragged about how well the entertainment company had weathered the changes buffeting the industry by investing in its core brands and jettisoning narrow ones.
“Content is king all over again,” Murdoch declared. “Video is at the heart of all digital consumption and 21st Century Fox is uniquely positioned to benefit from a wave of innovation that makes this a great time to deliver distinct stories, sports and news and to own the very best in video brands.”
Though Co-Executive Chairman Lachlan Murdoch avoided a question about any prospective sale, telling shareholders the company had the right set of assets and the scale to propel it forward.
“We have aligned our portfolio of brands, and our business, around the future of video,” Lachlan Murdoch said. “Our strategy to invest in the highest quality content and to make that content more available, not less, is paying great dividends.”
Investment banker Lloyd Greif interpreted reports of Disney’s failed bid for some of Fox’s assets signaled to other would-be buyers to get serious.
“They put out a For Sale sign out, for sure,” Greif said. “Why discuss a deal that’s not happening, if not to get the word out that the company’s ‘Going, going, gone!'”
Comcast Has Approached Fox To Discuss Acquisition: Reports
Comcast has approached 21st Century Fox to express interest in a possible acquisition, the Wall Street Journal reports, citing people familiar with the matter.
The cable giant wants to explore talks to buy Fox’s movie and television studio, some of its cable networks and its stakes in satellite TV provider Sky, Star India and the Hulu streaming service. The Fox Broadcasting Co., local television stations, the Fox News Channel and Fox Sports would not be included in a possible sale.
The Walt Disney Co. had previously explored acquiring these same assets, though negotiations have recently broken down.
The Journal report followed initial word on CNBC. Reuters has also confirmed the discussions, saying talks may be about assets, as in the Disney scenario.
Fox shares were up 5% to $30.90 in after-market trading, with Comcast up a fraction at $37.35.
Comcast and Fox did not have any immediate response to Deadline’s request for comment.
The news comes during a frenzy of merger discussions in the media, as well as a pregnant moment as the industry awaits word of the AT&T-Time Warner merger, which has been held up by the Justice Department.
As in that case, it isn’t clear that a deal could go through if certain assets are included. The production and network divisions of Disney and Comcast are overlapping, so some carve-outs or divestitures would be necessary for a deal to proceed.
Fox’s executives used Wednesday’s annual shareholders meeting in Century City to trumpet the value of its assets. Executive Chairman Rupert Murdoch bragged about how well the entertainment company had weathered the changes buffeting the industry by investing in its core brands and jettisoning narrow ones.
“Content is king all over again,” Murdoch declared. “Video is at the heart of all digital consumption and 21st Century Fox is uniquely positioned to benefit from a wave of innovation that makes this a great time to deliver distinct stories, sports and news and to own the very best in video brands.”
Though Co-Executive Chairman Lachlan Murdoch avoided a question about any prospective sale, telling shareholders the company had the right set of assets and the scale to propel it forward.
“We have aligned our portfolio of brands, and our business, around the future of video,” Lachlan Murdoch said. “Our strategy to invest in the highest quality content and to make that content more available, not less, is paying great dividends.”
Investment banker Lloyd Greif interpreted reports of Disney’s failed bid for some of Fox’s assets signaled to other would-be buyers to get serious.
“They put out a For Sale sign out, for sure,” Greif said. “Why discuss a deal that’s not happening, if not to get the word out that the company’s ‘Going, going, gone!'”