News Disney and Fox come to terms -- announcement soon; huge IP acquisition

Indy_UK

Indy_UK

Well-Known Member
So Disney get immediate control of Hulu which means they can take it international and do what they want with the service?

Comcast still owns 30% as long as they invest and if they don't, their share drops?

When we get to 2024, Disney then buys Hulu for the value it's worth at the time of selling?
 
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Quinnmac000

Well-Known Member
The Moles Family said:
So Disney get immediate control of Hulu which means they can take it international and do what they want with the service?

Comcast still owns 30% as long as they invest and if they don't, their share drops?

When we get to 2024, Disney then buys Hulu for the value it's worth at the time of selling?
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If they don't invest, their position can ONLY dilute to 21% but yes they can still own 30%. And 2024 Disney CAN buy or Comcast CAN force them to buy at the valuation in 5 years.
 
bartholomr4

bartholomr4

Well-Known Member
The Moles Family said:
So Disney get immediate control of Hulu which means they can take it international and do what they want with the service?

Comcast still owns 30% as long as they invest and if they don't, their share drops?

When we get to 2024, Disney then buys Hulu for the value it's worth at the time of selling?
Click to expand...

If they don't pay their share (capped at $500 Million a year) their share drops. Over the duration this could drop their ownership to 79%

They get the value of Hulu at the time or their share of $27.5 billion, whichever is greater
 
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seascape

Well-Known Member
Quinnmac000 said:
If they don't invest, their position can ONLY dilute to 21% but yes they can still own 30%. And 2024 Disney CAN buy or Comcast CAN force them to buy at the valuation in 5 years.
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The minimum valuation Disney must use is 27.5 billion. Comcast can demand a minimum of 21% of that or more if they make their addition payments to cover yearly losses. Believe me, Disney will buy out Comcast in 2024. This just a way Disney can buy it today without showing additional debt on the books.
 
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Quinnmac000

Well-Known Member
“We believe strongly in the direct-to-consumer space and our content is a key driver of that ecosystem,” Burke said in a statement. The extension of the Hulu content-licensing agreement “will generate significant cash flow for us, while giving us maximum flexibility to program and distribute to our own direct-to-consumer platform, as we build that business. Significantly, this transaction also affirms the value of our stake, provides a path to liquidity and ensures our continued equity participation in Hulu’s success.”

NBCU Burke statement makes it seem like Comcast won't dilute their equity in Hulu.
 
bartholomr4

bartholomr4

Well-Known Member
Quinnmac000 said:
“We believe strongly in the direct-to-consumer space and our content is a key driver of that ecosystem,” Burke said in a statement. The extension of the Hulu content-licensing agreement “will generate significant cash flow for us, while giving us maximum flexibility to program and distribute to our own direct-to-consumer platform, as we build that business. Significantly, this transaction also affirms the value of our stake, provides a path to liquidity and ensures our continued equity participation in Hulu’s success.”

NBCU Burke statement makes it seem like Comcast won't dilute their equity in Hulu.
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Also note the comment came from Burke, not Brian Roberts... Iger has been quoted and gave an interview to Robert Nathenson....
 
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Darkprime

Well-Known Member
AnotherDayAnotherDollar said:
I'm surprised Disney didn't ask/require those Marvel rights to be honest, especially given the size of this deal. As we have always said it's an after thought to the real deal which was Hulu control and equity. Goes to show you to never trust random tweets :)
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They haven't revealed the exact terms of the contract tho have they?. Could it not be possible they included something like "And in 5 years the marvel rights you own will revert to walt disney" or something?
 
bartholomr4

bartholomr4

Well-Known Member
Darkprime said:
They haven't revealed the exact terms of the contract tho have they?. Could it not be possible they included something like "And in 5 years the marvel rights you own will revert to walt disney" or something?
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We can hope, but I am thinking the negotiations were changes to the Hulu Organization and partnership bylaws.... I would be surprised if they added a clause to something un-related to the Hulu relationship. You never know, but would think hopes for Hulk and Namor (or anything else) have to come another day.
 
Rodan75

Rodan75

Well-Known Member
bartholomr4 said:
We can hope, but I am thinking the negotiations were changes to the Hulu Organization and partnership bylaws.... I would be surprised if they added a clause to something un-related to the Hulu relationship. You never know, but would think hopes for Hulk and Namor (or anything else) have to come another day.
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I was really thinking that this level of strategic alignment between Comcast and Disney would have created a path towards the Marvel rights.

Although today also shows that there really isn’t ‘bad blood’ between Iger and Roberts after the 21CF bidding war. So maybe there will be a time in the future to negotiate the Marvel rights. But I think it is safe to say that as of now the last big opportunity has passed and the current Marvel Theme Park and Hulk/Namur rights status quo is being maintained.
 
bartholomr4

bartholomr4

Well-Known Member
Rodan75 said:
I was really thinking that this level of strategic alignment between Comcast and Disney would have created a path towards the Marvel rights.

Although today also shows that there really isn’t ‘bad blood’ between Iger and Roberts after the 21CF bidding war. So maybe there will be a time in the future to negotiate the Marvel rights. But I think it is safe to say that as of now the last big opportunity has passed and the current Marvel Theme Park and Hulk/Namur rights status quo is being maintained.
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Unfortunately for all of us, I think you are right
 
Indy_UK

Indy_UK

Well-Known Member
You never know, they may have done a deal that by 2024 when Disney take full control of Hulu that the Marvel theme park rights revert back to Disney as by then, universal may be happy to retheme that land?
 
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Darkprime

Well-Known Member
At least Hulk can appear in the movies I guess. Getting Namor back isn't really that urgent either. Namor is more a nice to have. Spider-Man is really the only one who's film rights need immediate attention.
 
bartholomr4

bartholomr4

Well-Known Member
ImperfectPixie

ImperfectPixie

Well-Known Member
bartholomr4 said:

Interesting Video with Tom Rogers, former Tivo CEO and NBCU executive. He asks a good question as to why Comcast did the deal now. One has to wonder, because he is right, their leverage would do nothing but grow over time.... Wonder if it is the debt they are having to pay down, or their own plans with streaming which does not include a brand like Hulu.....
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Funny...I said basically the same exact thing in my FB group.
 
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AnotherDayAnotherDollar

Well-Known Member
Darkprime said:
They haven't revealed the exact terms of the contract tho have they?. Could it not be possible they included something like "And in 5 years the marvel rights you own will revert to walt disney" or something?
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You can hope, it's possible it was done quietly. That's not something that the street would care about to be honest, just us nerds. However, it's better to assume the status quo continues.

BTW, no one ever asks Iger about any of the Marvel rights. I remember analysts saying those licenses being tied to other studios meant Disney overpaid for Marvel, but after Marvel Studios did what they did no one asks anymore. Disney bought Paramount out of their rights out of nowhere (including future Indy movies). NathansonMoffet had a curve ball to ask Iger about any rights, including Hulk, Spidey, etc during the call yesterday and he didn't even care to ask. Those are something us nerds like to talk about but not something the street cares about. The only time I heard someone ask about any Marvel rights was during a shareholder call (where anyone with even 1 share can attend) asked Iger about the Orlando theme park rights some 4-5 years ago and Iger's reply simply was something like, "we haven't had a talk with them about that".

Also, Kevin Feige is doing an AMA tonight. There are a lot of questions regarding Hulk, Namor, Spidey. You can add your question so he knows what the fans want, but I doubt he answers any of them lol

 
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Indy_UK

Indy_UK

Well-Known Member
Just a side note to above, who has the distribution rights to the first 4 Indy films? I assumed Paramount but would imagine that Disney will want those eventually
 

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