Bidding war intensifies as Comcast offers $65bn to out Fox Disney

Bidding war intensifies as Comcast offers $65bn to out Fox Disney

Comcast has upped its offer for Twenty First Century Fox to $65bn in cash as a high-stakes bidding war intensified between the media giant and Disney to get their hands on the prize.

Representing a 20% premium on its earlier offer, the Comcast bid highlights the eagerness of the US’s largest media companies to snare the business, with the usual caveat of obtaining approval from regulators.

That green light appeared more certain on Tuesday after AT&T secured permission to buy Time Warner for $85bn.

The fight to obtain Fox looks set to intensify further this summer with Disney likely to respond with increased firepower of its own should the Fox board decide that Comcast’s offer beats its own. This is by no means assured however as the Murdoch family remain the largest shareholders and stand to lose billions in capital gains tax.

Fox shareholders are due to vote on precisely this on 10 July, and if it’s approved Disney will have five business days to respond.

Should it get the go-ahead Comcast-Fox would bring the likes of NBC Universal and Fox’s famous movie and television studios under one banner, meaning that the X-Men would belong to the same family as The Simpsons.

A wave of consolidations have swept the industry in recent years as traditional media firms face up to growing competition from the likes of Netflix and Google.

Comcast earlier bid $31bn to take control of Sky.

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