Disney got one step closer to acquiring assets of 21st Century Fox after getting approval from Chinese regulators on Monday. China became one of the last major hurdles for the acquisition after United States antitrust regulators and European Union regulators had both already approved the deal, the former in June and the latter doing so just this month.
Shares of both companies ticked up after the initial announcement and have stabilized since. As expected shares of $FOX saw the larger jump and remain up around +2.65% at midday.
Earlier this year, Disney made an all-stock bid of $52.4B to acquire 21st Century Fox’s movie studios (which would bring all of the popular Marvel Comics properties under one roof), their stakes in Hulu, Sky, and Endemol Shine Group as well as several networks, including: National Geographic, FX, Star TV, and regional sports networks. Disney was forced to increase their bid to $70B after Comcast initiated a bidding war, attempting to prevent the titan of entertainment from gaining more power in the industry.
A final deal for the acquisition could be in place by Spring of 2019.
As of writing this article: $DIS, -0.44%/ $FOX, +2.64% for the day.