Comcast makes offer to merge with Disney

[vernon]

Comcast offers $26.47 per share,valuing disney at $66 Billion (Disney shares closed at $24.08 last night)

I only have the headline at the moment will update if I see any more info

 

[CapeCod95]

I knew something was up when Disney stock price shot up in afterhours trading last night rather sharply. Someone knew something was going on.

 

[Galahad]

Now that's interesting.

It's funny. I don't usually mind as much being "overcharged" by the Mouse when I'm at WDW, but I get agravated every month when my Comcast bill comes for Cable and Internet. Now, if I'm paying Mickey for my high cable rates maybe I won't mind so much....

 

[vernon]

Apparantly comcast made a "private" approach to Mike Eisner on a few days ago and were told by him that he wasn't interested in discussing a merger. Brian Roberts, the CEO of comcast has sent a letter to Eisner saying " Given this (the refusal) , the only way for us to proceed is to make a public proposal directly to you and your board"

Could be an interesting mix to throw in with Roy Disney's move to oust Eisner. It's going to be an interesting shareholders meeting LOL

 

[MickMan]

Here is a story on Yahoo's main paige.
http://story.news.yahoo.com/news?tm...1/ap_on_bi_ge/comcast_disney&cid=509&ncid=716

From USATODAY:
http://www.usatoday.com/money/media/2004-02-11-comcast-disney_x.htm

From Financial Times:
http://news.ft.com/servlet/ContentS...y&c=StoryFT&cid=1075982435107&p=1012571727088

Comcast's Letter to Disney:
http://money.cnn.com/2004/02/11/news/comcast_letter/

Comcast web site about merger:
http://www.pressnews.net/cmcsa/#

 

[Luv2Roam]

I thought maybe it was them who bought the DS. But what the hey..... If it gets Ei$ner out.
This should be a wake up call for many.

 

[manning]

Maybe it's time to drop my Comcast cable/internet connection and go to DirectTV.

Maybe if enough do it, it may hurt their bottom line.

 

[landsm99]

to me this is the worst news. there is no way that the disney magic will be safe in the hands of 'the cable company'. i have great concerns for customer service, friendliness etc. this is a bad day.

 

[SteveS]

I agree that this is bad news for Disney. All the Michael Eisner bashing aside, Disney's independence is critical to their sucess. It's independence that allows the "Magic" to happen.

 

[KNWVIKING]

Okay, Will one of you Wall Street Wizard types explain where the 66B value comes in. AT 24.08 Dis market cap is 49.B How does a 26.47 price equate to 66B ?

 

[tfc3rid]

Dangerous, dangerous...

 

[Ima Princess]

I agree with SteveS. Let's hope Disney can maintain its independence.

Plus, "Comcast World" and "CABLE Center" don't quite have the same ring to them...

--CC

 

[KNWVIKING]

Which team would Comcast dump ? The Flyers or the Ducks ?

 

[JDH]

Is it possible that after the merger takes place, if it does, that Comcast will sell off the parks,cruise line basically some of the assets Roy and Diane were trying to buy from Mike?

It would seem to me that Comcast may be more interested in ABC ,cable channels and feature films. That would also get them out from under some of the 11 billion in debt the would inherit.

Maybe there is more here than meets the eye also as to some other behind the scenes players and machinations that are going on.

What do you folks think?

 

[tfc3rid]

Looks a lot like 1984.

 

[PamOKW]

The current president of Comcast is Steve Burke. Steve is a former Disney executive.

Before joining Comcast, he led several divisions of the Walt Disney company to unprecedented success – as president of ABC broadcasting, as head of Buena Vista Television, the company's domestic syndication arm, as president and coo of Euro- Disney, and as one of the key executives responsible for the launch of the Disney stores.

 

[crusader]

Maybe it's time to drop my Comcast cable/internet connection and go to DirectTV.

This is a loaded statement manning.

Comcast has a real problem on the horizon.

http://www.fcc.gov/mb/newsdirectv/

As for Disney, they have to position themselves to move their media conglomerate forward.

Which means, the current or "next" CEO had better be excellent in this arena and bring in the big guns to succeed in strategically adapting to the changes taking place - which requires a heck of alot more than an "animator" with a proven track record of successfully produced CGI features pairing up with a good numbers guy.

 

[Goofyposter]

AT 24.08 Dis market cap is 49.B How does a 26.47 price equate to 66B ?

You need to add to that Disney's debts

 

[Jestocost]

Originally posted by KNWVIKING
Okay, Will one of you Wall Street Wizard types explain where the 66B value comes in. AT 24.08 Dis market cap is 49.B How does a 26.47 price equate to 66B ?

In addition to the stock swap, Comcast's proposal includes the assumption of approximately $12 billion in outstanding Disney debt. Add that to the stock total and you get the $66 billion.

 

[KNWVIKING]

Being in debt adds value to the company ?!?!? Only in America.

My drunken,deadbeat BIL must be worth millions then.