21st Century Fox’s entertainment assets are to be sold to Walt Disney for $66bn (£49bn), it has been confirmed.
The deal includes Fox’s 39% stake in satellite broadcaster Sky, and the 20th Century Fox film studio.
In a statement, Disney said the acquisition would allow it to create more appealing content, build more direct relationships with consumers around the world and deliver a more compelling entertainment experience.
Immediately prior to the acquisition, 21st Century Fox will separate the Fox Broadcasting network and stations, Fox News Channel, Fox Business Network, FS1, FS2 and Big Ten Network into a newly listed company that will be spun off to its shareholders.
“The acquisition of this stellar collection of businesses from 21st Century Fox reflects the increasing consumer demand for a rich diversity of entertainment experiences that are more compelling, accessible and convenient than ever before,” said Robert Iger, chairman and CEO, The Walt Disney Company.
“We’re honoured and grateful that Rupert Murdoch has entrusted us with the future of businesses he spent a lifetime building, and we’re excited about this extraordinary opportunity to significantly increase our portfolio of well-loved franchises and branded content to greatly enhance our growing direct-to-consumer offerings.
“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.”
The deal is surprising as many analysts believed Murdoch would pass his business empire over to his sons James and Lachlan.
