Disney agreeing to sell the Fox Sports networks in Mexico and Brazil is a mistake. Rather than selling them at a discount and sell of the Fox RSNs they should be spun off to a separate company. The stockholders are not getting the real value of these assets due to the forced sell off. The US Justice Department has agreed to a spin off option and since they have the same issue in Mexico and Brazil the combined sports networks could be the start of another major competitor in the Sports market.
Yes, I know it would create more competition for ESPN and probably lower ESPNs profits but the key is what is best for the stockholders not just the remaining company. I just hope The Walt Disney Company takes all the Fox assets they are buying and do what is best for the stockholders. After all look at what happened after Standard Oil was broken up and how it increased the wealth of its stockholders. Separate companies gave stockholders more value than what would have occurred if they had been forced to sell parts of the company off. Please do the right thing.
Yes, I know it would create more competition for ESPN and probably lower ESPNs profits but the key is what is best for the stockholders not just the remaining company. I just hope The Walt Disney Company takes all the Fox assets they are buying and do what is best for the stockholders. After all look at what happened after Standard Oil was broken up and how it increased the wealth of its stockholders. Separate companies gave stockholders more value than what would have occurred if they had been forced to sell parts of the company off. Please do the right thing.
