Disney's Next Acquisition Speculation / Discussion

[bartholomr4]

Good overview. What change wont be like? The impact that the increased park labor costs are going to have on hours, entertainment offerings, etc.?

I think this is a time where Disney will be managing the number of people in the park. I can see limitations on Annual Passholders, and the number of "off-site" park tickets they will sell. This probably includes a reduction in the number of available hotel rooms they will make available. All to enable social distancing.

Lets say the maximum capacity of the Magic Kingdom at any given moment is 75,000 people. I can see Disney limiting access (like they do at Christmas and New Years) to say 25,000. You can't go into the park if the guest count is above 25,000 and they manage entry as people leave to balance guests.

I can also see Disney giving you a time when you can come to the park (especially first thing in the morning) so there isn't the mad - dash of people on top of people at park opening. It would make sense if they are limiting all of this, that they would expand park hours (open much earlier, and close much later). That way they can maximize the number of people who will come and pay.

Their cost currently are high. Their revenue from the parks is currently zero. Now is not the time to worry about labor costs. It is time to worry about revenue. I don't think they lower prices, but they will give away free meals, and provide discounts to get to the optimal park capacity. I also think this is a time to get people who normally "work behind the scenes" to get into the park. This could offset increased labor costs, and enable leaders to understand the dynamics of interactions and make changes "on the fly" to optimize the experience.

I can see all of this inplace until a viable treatment / vaccine is widely available.

 

[bartholomr4]

Dalian Wanda just denied any talks about AMC going bankrupt, dismissing them as "pure rumours". https://variety.com/2020/biz/asia/wanda-dismisses-amc-bankruptcy-rumors-1234580846/

Theater Chain AMC Reportedly in Talks to Hire Chapter 11 Counsel
AMC, the country's largest movie theater chain, is reportedly in talks to hire a law firm to spearhead its bankruptcy case.
TONY OWUSU APR 15, 2020 12:30 PM EDT

Shares of AMC Entertainment (AMC) - Get Report, the largest theater chain in the U.S., dropped more than 20% following a report that the company is in talks to hire law firm Well Gotshal & Manges to explore a potential Chapter 11 filing.

Talks are still in the early stages, according to a New York Post article citing sources.

The team at Well Gotshal is being headed by Ray Schrock, who recently worked as bankruptcy counsel to PG&E, Fairway and Sears.
AMC shares fell 20% to $2.08 at last check.

Speculation about a potential bankruptcy filing have swirled for some time, leading analysts at Loop Capital last week to downgrade the stock on concern about a potential Chapter 11 filing.

AMC in mid-March shut its U.S. theaters - 1,000 of them with some 11,000 screens - for six to 12 weeks. And it recently sent a letter to landlords stating that it would stop paying rent.

At the start of April, The Wall Street Journal reported, citing people familiar with the matter, that lenders to AMC had hired the law firm of Gibson, Dunn & Crutcher for advice on expected restructuring talks.

 

[Disney Republic]

There may be anti-trust issues with the purchase of any movie theater chains by Disney as well.

Unlikely to say the least, especially when the DOJ is effectively scrapping the relevant Anti-Trust Laws* that would prevent Disney buying the likes of AMC.

*https://variety.com/2019/biz/news/paramount-doj-consent-decrees-court-filing-1203413811/

 

[brodie999]

It's been reported Marvel got the rights to Hulk back and they could work on a sequel to 2008's Incredible Hulk according to We Got This Covered.

 

[Twilight_Roxas]

It's been reported Marvel got the rights to Hulk back and they could work on a sequel to 2008's Incredible Hulk according to We Got This Covered.

 

[Twilight_Roxas]

As for acquisitions they could acquire the Peanuts gang or license the theme park rights in Europe since Blue Sky Studios made the Peanuts movie.

 

[Disney Irish]

As for acquisitions they could acquire the Peanuts gang or license the theme park rights in Europe since Blue Sky Studios made the Peanuts movie.

I don't see that happening. They are currently primarily owned by WlidBrain, a Canadian media company. There are so many licensing agreements in place for those characters it wouldn't be beneficial to Disney, including CedarFair for theme park rights in the US.

Additionally Sony owns a stake in them which would put an even bigger strain on Disney's and Sony's relationship given the Spider-Man issue. Not to mention that Apple has streaming rights to the characters right now.

So its a bigger mess than I'm sure Disney would want to get into just for some licensing right in Europe.

 

[Twilight_Roxas]

But remember Blue Sky Studios created the Peanuts movie that they could license the Peanuts IP in Walt Disney Studios park in Paris, and create attractions. Plus Universal has the theme park rights of the Peanuts gang in Japan.

 

[The Grand Inquisitor]

View attachment 464919

I agree We Got This Covered is like the National Enquirer of comic book news.

 

[Disney Irish]

But remember Blue Sky Studios created the Peanuts movie that they could license the Peanuts IP in Walt Disney Studios park in Paris, and create attractions.

Why would Disney attempt to buy an IP where there is so many other companies using it? Disney has to think beyond just Disneyland Paris when making an acquisition.

Plus Universal has the theme park rights of the Peanuts gang in Japan.

This again just proves my point. Basically Disneyland Paris would probably be the only Disney Park they could ever be used in. So that again wouldn't be beneficial to Disney long term for them to even consider acquiring them.

Basically other than the licensing fees they would gain; there is so little upside to this idea that it becomes almost a non-starter. Disney would only make an acquisition when it would benefit the entire company. And remember that since Apple currently has the streaming rights they couldn't even use them for Disney+. No, I'm sure Disney is happy just having access to the old holiday specials to play on ABC.

And lets not forget that the Shultz family is likely never to give up their 20% stake in the characters. So there is that too.

Its an interesting idea to bring another kid friendly IP into the Disney fold, but will likely never happen with this specific IP.

 

[Disney Republic]

If Disney is looking to make a takeover target in the Post-COVID19 era, why not ViacomCBS?

I got the idea after watching this video (By YT Channel Midnight's Edge) in relation to the financial state of ViacomCBS & more specifically the current state of the Star Trek Franchise:



Now while I agree with certain aspects of this video, one thing that I fundementally disagree with said video however is that it protrays the possible selling of the Star Trek Franchise (and other assets) as a solution to ViacomCBS's current woes. The problem with that proposed solution is that it ignores the fact the company itself is too small to compete in the age of streaming & the fact that the Redstones Management of Viacom/CBS (Since the Early 2000s*) has been shockingly bad to say the least.

Plus when you couple the fact that the Redstones want to eventually sell ViacomCBS anyway, the only real solution is for that company to be sold to somebody else.

Thus my point is that Disney should be that company that ends up with ViacomCBS, especially when the company itself has a low stock price (Less than $10 Billion, surely a deal can be done for $20-25 Billion?) and has a lot of assets that would benefit Disney such as:

• Paramount - With a lot of IP that Disney could exploit, which in turn would help the film division rely less on Marvel & Star Wars.
• CBS - Those shows they currently make & have in their library would signficantly boost the amount of content on Hulu, while CBS Sport's programming would help improve the current state of ESPN.
• Comedy Central - Which again would boost the amount of content on Hulu.
• Nickelodeon - Which would boost the content on Disney+.
• Showtime - Which again would boost the amount of content on Hulu.

Likewise, it would also allow for Disney to regain Miramax and thus undo one of the biggest mistakes Iger made while CEO.

*As shown by the the Viacom/CBS Demerger back in 2006, aka the Dumbest Demerger of All Time™

 

[Twilight_Roxas]

If that happens wouldn’t Disney getting full acquisition of Garfield? They can’t CBS due to FCC laws. Not just the specials, but also the film being on Disney+.

 

[Disney Republic]

If that happens wouldn’t Disney getting full acquisition of Garfield?

Yep, Garfield would end up being owned by Disney if they ended up buying ViacomCBS.

They can’t CBS due to FCC laws.

The FCC is looking to abolish the "Dual Network Rule" anyway*. So coupled with the rise in Streaming Services & other political considerations, it wouldn't take much for Disney to get away with owning both ABC & CBS.

*https://www.hollywoodreporter.com/t...g-mergers-big-four-broadcast-networks-1168629

 

[Twilight_Roxas]

Because that’s how Disney couldn’t acquire Fox broadcasting. But I see your point.

 

[Disney Republic]

Because that’s how Disney couldn’t acquire Fox broadcasting. But I see your point.

What surprised me about the 21st Century Fox takeover was that Disney didn't even attempt to convince the FCC/DOJ that it should be permitted to buy Fox Broadcasting & FOX Sports Networks off the Murdoch's.

Especially when Viacom used to own 2 Broadcast Networks (CBS & UPN) between 2000-2006 (The FCC had changed the rules to permit that) until it's idiotic demerger, the FCC was looking to scrap the relevant rules anyway & the fact there is more competition than ever when it comes to purchasing sports broadcasting rights.

Likewise buying both of them off the Murdoch's would have massively helped ESPN considering the amount of Sports Rights both companies still hold to this day. Hence why it was a mistake for Disney to show little interest in either.

 

[Twilight_Roxas]

Well technically UPN merge with WB becoming the CW.

Let’s see the IPs Disney will get if they acquire Paramount & CBS.
Transformers (film distribution)
Garfield
Nickelodeon
Paranormal Activity
Scream
Indiana Jones (pre-Lucasfilm merger films.)
South Park
The Twilight Zone
Star Trek
Mission Impossible
The Godfather
Teenage Mutant Ninja Turtles
Terminator

Disney+ will be huge with the Nickelodeon IPs. Although don’t know if Disney will put Ren & Stimpy on Disney+ or Hulu.

 

[Kobe!!]

Movie theatres will be gone one day...

 

[The Grand Inquisitor]

If Disney is looking to make a takeover target in the Post-COVID19 era, why not ViacomCBS?

I got the idea after watching this video (By YT Channel Midnight's Edge) in relation to the financial state of ViacomCBS & more specifically the current state of the Star Trek Franchise:



Now while I agree with certain aspects of this video, one thing that I fundementally disagree with said video however is that it protrays the possible selling of the Star Trek Franchise (and other assets) as a solution to ViacomCBS's current woes. The problem with that proposed solution is that it ignores the fact the company itself is too small to compete in the age of streaming & the fact that the Redstones Management of Viacom/CBS (Since the Early 2000s*) has been shockingly bad to say the least.

Plus when you couple the fact that the Redstones want to eventually sell ViacomCBS anyway, the only real solution is for that company to be sold to somebody else.

Thus my point is that Disney should be that company that ends up with ViacomCBS, especially when the company itself has a low stock price (Less than $10 Billion, surely a deal can be done for $20-25 Billion?) and has a lot of assets that would benefit Disney such as:

• Paramount - With a lot of IP that Disney could exploit, which in turn would help the film division rely less on Marvel & Star Wars.
• CBS - Those shows they currently make & have in their library would signficantly boost the amount of content on Hulu, while CBS Sport's programming would help improve the current state of ESPN.
• Comedy Central - Which again would boost the amount of content on Hulu.
• Nickelodeon - Which would boost the content on Disney+.
• Showtime - Which again would boost the amount of content on Hulu.

Likewise, it would also allow for Disney to regain Miramax and thus undo one of the biggest mistakes Iger made while CEO.

*As shown by the the Viacom/CBS Demerger back in 2006, aka the Dumbest Demerger of All Time™

It's way more likely Comcast would want to acquire them before Disney. I do not see Disney making another big acquisition for a long time.

 

[Disney Irish]

If Disney is looking to make a takeover target in the Post-COVID19 era, why not ViacomCBS?

I got the idea after watching this video (By YT Channel Midnight's Edge) in relation to the financial state of ViacomCBS & more specifically the current state of the Star Trek Franchise:



Now while I agree with certain aspects of this video, one thing that I fundementally disagree with said video however is that it protrays the possible selling of the Star Trek Franchise (and other assets) as a solution to ViacomCBS's current woes. The problem with that proposed solution is that it ignores the fact the company itself is too small to compete in the age of streaming & the fact that the Redstones Management of Viacom/CBS (Since the Early 2000s*) has been shockingly bad to say the least.

Plus when you couple the fact that the Redstones want to eventually sell ViacomCBS anyway, the only real solution is for that company to be sold to somebody else.

Thus my point is that Disney should be that company that ends up with ViacomCBS, especially when the company itself has a low stock price (Less than $10 Billion, surely a deal can be done for $20-25 Billion?) and has a lot of assets that would benefit Disney such as:

• Paramount - With a lot of IP that Disney could exploit, which in turn would help the film division rely less on Marvel & Star Wars.
• CBS - Those shows they currently make & have in their library would signficantly boost the amount of content on Hulu, while CBS Sport's programming would help improve the current state of ESPN.
• Comedy Central - Which again would boost the amount of content on Hulu.
• Nickelodeon - Which would boost the content on Disney+.
• Showtime - Which again would boost the amount of content on Hulu.

Likewise, it would also allow for Disney to regain Miramax and thus undo one of the biggest mistakes Iger made while CEO.

*As shown by the the Viacom/CBS Demerger back in 2006, aka the Dumbest Demerger of All Time™

I would think that its very unlikely that the FCC would let Disney buy not only another broadcast channel (even though you say otherwise), but also another large studio. There is already so much backlash with the current Hollywood consolidation that its unlikely Comcast with be allowed to either.

 

[Sirwalterraleigh]

...I think their next acquisition will be a rather large line of credit