Fox shares ended lower Friday, as shareholders voted to approve its asset sale to Walt Disney for $71.3 billion. Disney – who’s shares also closed in the red – will gain numerous media assets, including a 39% stake in Sky PLC.
Fox shares ended the US Friday session 0.51% lower at $45.15 and the stock is also a little lower in out-of-hours activity. Disney shares also ended in negative territory Friday, 0.78% lower at $112.62.
Firms ‘grateful’ for shareholder approval
The vote by shareholders took place on July 28th and Fox and Disney issued a joint statement confirming the approval. The approval of both sets of shareholders is just another step on the journey to finalising the deal, which is set to take some months yet.
“Combining the 21CF businesses with Disney and establishing new ‘Fox’ will unlock significant value for our shareholders,” said Rupert Murdoch, Executive Chairman, 21st Century Fox. “We are grateful to our shareholders for approving this transaction.
Meanwhile, Disney’s CEO was always upbeat on the approval.
“We’re incredibly pleased that shareholders of both companies have granted approval for us to move forward and are confident in our ability to create significant long-term value through this acquisition of Fox’s premier assets,” said Robert A. Iger, Chairman and CEO of Disney.
“We remain grateful to Rupert Murdoch and to the rest of the 21st Century Fox board for entrusting us with the future of these extraordinary businesses and look forward to welcoming 21st Century Fox’s stellar talent to Disney and ultimately integrating our businesses to provide consumers around the world with more appealing content and entertainment options.” Iger added.
Disney must sell Fox sports assets
The deal has already received approval from the US, with the condition that Disney must sell the regional sports TV elements of its new Fox assets, once the deal is complete.
However, due to the size of the businesses and the way they operate, separate approval is still required from a number of other countries, too.