Fox Sets Date to Vote on Merger With Disney
Wait, what? Fox is merging with Disney?
Does that mean there will be an animated movie featuring Donald Trump and Sean Hannity? Who will be the voice-actors? Will it be rated P-13?
Lighten up, everybody, it's Friday somewhere. Besides, some of the rumors about the deal are true.
The $52 Billion Deal
Twenty-First Century Fox announced it will meet with stockholders to decide whether to merge with the Walt Disney Company. Comcast is also interested in buying Fox, but Disney already put its deal on the table.
Industry insiders say the Fox-Disney deal is worth about $52 billion. Fox shareholders will get about 25 percent of Disney, and Fox will spinoff its broadcast news, sports and television stations.
"The deal will also substantially expand our international reach, allowing us to offer world-class storytelling and innovative distribution platforms to more consumers in key markets around the world," said Disney CEO Bob Iger.
Variety reported that Disney expects to save $2 billion in costs by combining the companies' overlapping businesses within two years. Regulatory review of the acquisition could take as long.
The Trump Connection
Hannity, the Fox News host and undying Trump champion, has nothing to do with the deal. Neither does Trump, although they have shared the same lawyer.
The President has appeared frequently on the Hannity show and even calls him for advice. If nothing else, the relationship has increased ratings for Fox.
Whether it will matter as the merger goes through regulatory review will be another story. Probably not a Disney story.