Fox Shareholder Sues Against Disney Merger
On 27 July, 2018, 21st Century Stakeholders are expected to meet in order to discuss Walt Disney Co.’s proposal to buy the majority of the company’s shares. There are not many people under the Fox umbrella who are interested in the $71.3 billion acquisition.
The Hollywood Reporter recently reported that Robert Weiss and other Fox shareholders are filing a suit in the Delaware Federal Court. The suit, “alleges that a proxy statement filed on June 28 omits or misrepresents the company’s financial projections and the data underlying financial valuation analyses from Goldman Sachs and Centerview Partners. In short, unless remedied, 21CF’s public stockholders will be forced to make a voting or appraisal decision on the Proposed Transaction without full disclosure of all material information concerning the Proposed Transaction being provided to them.”
Disney took the win after a bidding war with Comcast over Fox, and won when it raised the offer to $71.3 billion. This raises each share $10 than the offer Disney gave in September.
Comcast still does have time to counteroffer yet again, but Fox owners Lachlan and James Murdoch recently sent a letter to employees that stated they expected the deal to be closed within 6 to 12 months. They may favor Disney to be the winner, as well.
The Fox/Disney discussions are ongoing and there’s no word yet on how this suit could affect the talks. When contacted by THR, Fox declined comment.
Micajah McGregor, Editor in Chief of FanFest.com and renowned entertainment journalist, graduated from USC with a focus on Journalism and Film Studies. With an MBA from The Wharton School, he began his career at “PopCulture Pulse” and has been instrumental in shaping FanFest into a prime entertainment news source. Known for his financial analysis of celebrity net worths, Micajah received the ‘Digital Editor of the Year’ award in 2018. He’s also an active blogger, sharing his passion for superhero films and ’90s TV. Contact him at [email protected] for engaging entertainment insights.
