Disney to Pay Comcast $438.7M for Full Hulu Ownership, Ending Valuation Dispute

The Walt Disney Company (NYSE:DIS) is one of the best Dow stocks to invest in.

The company has agreed to pay Comcast $438.7 million to buy out its remaining stake in the streaming service Hulu, ending a lengthy appraisal process.

In 2023, The Walt Disney Company (NYSE:DIS) announced its plan to acquire Comcast’s 33% share of Hulu, paying $8.6 billion based on a minimum value of $27.5 billion that the companies had agreed on in 2019. This move wasn’t unexpected, as reports had indicated Disney’s intention to gain full control of Hulu.

The Walt Disney Company (NYSE:DIS) had originally acquired a two-thirds stake in Hulu through its purchase of Fox Corp.’s entertainment assets.

After the initial payment, Disney and Comcast entered an appraisal process initially set to finish in 2024. The deal is expected to be finalized by July 24.

Disney CEO Bob Iger made the following statement:

“We are pleased this is finally resolved. We have had a productive partnership with NBCUniversal, and we wish them the best of luck.”

Meanwhile, The Walt Disney Company (NYSE:DIS) has started merging Hulu with its other streaming services, which are also bundled with ESPN+, its sports streaming platform.

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