Current Events > Bob Iger might be selling Disney to Apple

(+) Yeah! (+)

https://www.thewrap.com/bob-iger-sell-disney-apple-power-move/

Now that Disney CEO Bob Iger has regained the keys to the Magic Kingdom less than three years after his chosen successor, Bob Chapek, took over insiders suspect they know how the beloved executive will find a new way to go out on top during his final two-year stint. Hes going to sell the company, one Disney insider who has worked for Iger predicted. This is the pinnacle deal for the ultimate dealmaker. Landing a deal with Apple (or some other megabuyer) would also cement Igers legacy. I think hed welcome it hed be the last CEO of Disney, a former top Disney executive told TheWrap, noting that the two companies have similar brand identities and could benefit from a merger.

Acquisitions are in Igers DNA. Under Igers leadership, Disney went on a nearly $100 billion shopping spree to buy animation giant Pixar in 2006, superhero juggernaut Marvel in 2009, Star Wars-powered Lucasfilm in 2012 and Rupert Murdochs 21st Century Fox in 2019. But there was one acquisition hes publicly lamented as a transformational deal that got away a combination with the tech powerhouse Apple. In Igers 2019 autobiography The Ride of a Lifetime, the executive wrote chapters about his friendship with Steve Jobs. He and his wife, Willow Bay, were close friends with Steve and Laurene Powell Jobs, even spending holidays together and vacationing in Hawaii. He even writes about standing in front of Steve Jobs grave when the tech visionarys wife uttered: I asked him if we could trust you. And Steve said, I love that guy. Iger responds: The feeling was mutual.

Yes, there are caveats chief among them that Jobs died in 2011. And Disney is a big pill to swallow, with a $180 billion market valuation that would easily soar to a $200 billion premium if the studio were to be acquired. A deal of that size is likely to draw stiff antitrust resistance at a moment when regulators have stepped up efforts to block other recently proposed media megadeals. Paramount Global this week scrapped the $2 billion sale of its Simon & Schuster division to book publishing giant Penguin Random House after a federal judge blocked the deal, while European regulators have launched a probe of Microsofts $69 million offer to purchase gaming giant Activision Blizzard.

Apple CEO Tim Cook, known to be a safe player with relatively few acquisitions under his leadership, might have given Wall Street a big hint in April. During a call with investors, Cook said he would not rule out acquiring a large company, and that the main drive was to secure strong intellectual property and big names. We are always looking at companies to buy, we acquire a lot of smaller companies and well continue to do that for IP and to incorporate talent, Cook said. We dont discount something larger if the opportunity presents itself. Im not going to go through my list with you on this call, but were always looking.
Apple, which has been tinkering with a grab in the streaming space with hits like Ted Lasso, certainly has the financial firepower to pull off an acquisition of this size. Even as borrowing costs get more expensive with rising interest rates, the Cupertino-based company is sitting on top of a $48.3 billion cash stockpile. Fleshing that out to both cash and investments, the total surges to about $200 billion. Thats 7.4% of all the mad money held by every member of the broad Standard & Poors 500 index.

Not to mention that Apple shares have skyrocketed since Iger and Jobs first did business together. Disney bought the Jobs-run Pixar in 2006 for $7.4 billion, which put the animation studios CEO on the entertainment companys 10-member board. On the day the deal was announced, Apple was trading at about $3 a share and Disney at $25. Apple is now trading at $150, up 238% in the past five years. Disney, at $96, is down 6% during that same period. A rep for Disney had no comment; an Apple rep did not respond to requests for comment.

antitrust

paywall

yea sure

Robot2600 posted...

antitrust

This. No way that sale would be allowed to go through.

Not a chance in hell.

Might as well, not like conditions are fantastic in the market right now.

I know it was you, Iger

ToadallyAwesome posted...

This. No way that sale would be allowed to go through.

Not with this administration in power at least. Maybe in 2-6 years, however.

Though the GOP hates Disney so even if power swung back to them Iunno if they'd be so lenient.

Disney is already too much of a monopoly, selling them to Apple should be struck down by any halfway decent court.

There is no way I could see this happening, Disney is too big, and frankly in it to win it

this in on the same level as people suggesting Nintendo would sell out to another megacorp

Could you imagine the Mickey-eared Apple logo being on everything?

pfh1001 posted...

Disney is already too much of a monopoly, selling them to Apple should be struck down by any halfway decent court.

But these are the WTF times so you never really know!

Exciting, ain't it?

And I thought that topic about speeding sensors was the dumbest thing I'd ever read

This just in, Microsoft to purchase WBD. Google purchasing Paramount. Amazon purchasing Netflix.

Would be nice

One company to rule them all, one company to bind them

Tyranthraxus posted...

This just in, Microsoft to purchase WBD. Google purchasing Paramount. Amazon purchasing Netflix.

Troma remains

I wouldn't be surprised if the source of this BS story was Bob Chapek himself

Turtlemayor333 posted...

I wouldn't be surprised if the source of this BS story was Bob Chapek himself

Yeah, it has sting being canned for the guy that you replaced in the first place

That's a different kind of humiliation

CRON posted...

Microsofts $69 million offer to purchase gaming giant Activision Blizzard

That should read billion.

Let's just make it all like one thing and see what happens. Morbidly curious at this point

Turtlemayor333 posted...

I wouldn't be surprised if the source of this BS story was Bob Chapek himself

Yeah. Especially since the Disney Fox merger almost didnt happen because of antitrust. They cant get bigger right now,

1958's The Blob was a warning.

Is the US Government the only entity that would have the ability to stop this? Because I can't imagine the EU being fine with it.

I don't buy it.

The US government wouldn't do jack shit about that purchase. Anti-trust enforcement is a fuckin joke here.

You act like our government actually cares about stopping monopolies

Too much power for one company, we cant allow that.

Halo478 posted...

You act like our government actually cares about stopping monopolies

Apple-Disney could potentially have enough power and influence to sway elections. The government might actually give a shit.

I think the only real hurdle here is that many movies and TV shows are sold through Apple. Outside of that they're barely in the same industry. Apple TV is small fry overall.

Fun fact: Disney actually stopped allowing digital copies of movies to be redeemed through iTunes in Canada because Apple was automatically upgrading them to 4k. Instead, the only options are Google Play or the streaming service of one of our nation-wide movie theatre companies, because those are locked into 1080p.

I'm curious how this would impact that.

Also actually, Disney owns and operates Movies Anywhere. I bet they'd have to sell that off.