LOS ANGELES (CNS) - The Walt Disney Company won approval today from federal regulators for its proposed $71 billion acquisition of 21st Century Fox entertainment assets, under the condition that the Burbank company sell off Fox's regional sports networks.
The settlement with the Department of Justice allows the Disney-Fox merger to proceed within at least 90 days. The announcement gives Disney a leg up in its bidding war with Comcast Corp., which made a $65 billion offer for Fox earlier this month.``We are pleased that the DOJ concluded that, with the exception of the proposed acquisition of the Fox Sports Regional Networks, the transaction will not harm competition, and that we were able to resolve the limited potential concerns to position us to move forward with this exciting opportunity that will enable us to create even more compelling consumer experiences,'' Disney said.
Last week, Disney and Fox announced an amended acquisition agreement pursuant to which Disney will acquire Fox for $38 per share in cash and stock, immediately following the spin-off of the businesses comprising New Fox as previously announced.
Completion of the transaction is subject to various regulatory reviews, approval of shareholders of both companies and the approval of a federal judge in New York.