Comcast Makes $65 Billion Offer to Fox, Setting Up Potential Bidding War With Disney
Comcast bids $65 billion for most of 21st Century Fox, a dramatic attempt to undercut Disney after it reached a $52.4 billion deal in December for the same film and TV assets https://t.co/63XC2gu9Rk pic.twitter.com/AFa1sHsEEC
— CNNMoney (@CNNMoney) June 13, 2018
You very likely heard a few months ago about Disney’s bid to acquire the vast majority of 21st Century Fox’s assets, but now Comcast has jumped into the fray.
Comcast has made an all-cash offer of roughly $65 billion to acquire Fox’s assets. Per their letter to the Murdochs:
Dear Rupert, Lachlan and James,
We have long admired what the Murdoch family has built at Twenty-First Century Fox. After our meetings last year, we came away convinced that the 21CF businesses to be sold are highly complementary to ours, and that our company would be the right strategic home for them.
So, we were disappointed when 21CF decided to enter into a transaction with The Walt Disney Company, even though we had offered a meaningfully higher price. We have reviewed the publicly available terms of the proposed Disney transaction, as well as the joint proxy statement/prospectus filed with the SEC describing the reasons for the 21CF Board of Directors’ decision. In light of yesterday’s decision in the AT&T/Time Warner case, the limited time prior to your shareholders’ meeting, and our strong continued interest, we are pleased to present a new, all-cash proposal that fully addresses the Board’s stated concerns with our prior proposal.
As the letter notes, this all-cash offer comes on the heels of the court ruling against the DOJ in AT&T’s favor yesterday to proceed with its Time Warner merger.
You can read the full letter from Comcast to the Murdochs here.
[image via screengrab]
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