Fox Shareholders Approve Disney’s Acquisition
CBJ — Shareholders at Twenty-First Century Fox have voted to approve Walt Disney’s $71 billion purchase of its film and television assets.
Disney was forced to improve its offer after Comcast put in a rival bid for $66 billion to acquire the company and such well known television shows and movie franchises including “The Simpsons” and “X-Men”. However, Comcast ultimately decided to withdraw from the bidding, citing interests in other areas.
Entertainment industry media companies are being forced to spend tens of billions of dollars in order to compete with Netflix and Amazon.
Rupert Murdoch, who owns 17% of Fox’s voting shares along with his family, could have faced a large capital gains tax bill under Comcast’s all-cash offer.
Fox will separate the Fox Broadcasting network and stations, Fox News Channel, Fox Business Network and its sports channels FS1, FS2, and the Big Ten Network into a newly listed company that it will spin off to its shareholders.