Disney Buying Much of Fox for $66.1 Billion; Prospects for Regulatory OK Seen Mixed

In the latest much-antiticpated consolidation in the communications industry, Disney confirmed it's buying much of 21st Century Fox. Disney plans to acquire the Twentieth Century Fox Film and Television studios and cable and international TV businesses for some $52.4 billion in stock and assume $13.7 billion of net debt, the buyer said this morning. 21st Century Fox will keep Fox Broadcasting, Fox News Channel and some other cable channels in a "newly listed company that will be spun off to its shareholders," Disney said.

Whether DOJ will approve the deal is a matter of debate among experts, who said a key question before regulators is how to define what New Disney is -- a major player in sports content and movie production, or a much smaller content producer in the growing streaming landscape, we reported last night. "The acquisition will enable Disney to accelerate its use of innovative technologies, including its BAMTECH platform, to create more ways for its storytellers to entertain and connect directly with audiences while providing more choices for how they consume content," Disney said. "The complementary offerings of each company enhance Disney’s development of films, television programming and related products to provide consumers with a more enjoyable and immersive entertainment experience."

Bob Iger will continue as chairman and CEO of Disney through 2021. If 21st Century Fox succeeds in buying the rest of Sky, Disney would also own that asset.