Walt Disney Case Study
Walt disney has always been quite active in M&A. Their focus has always been to acquire the content that has the global reach.
Some of the notable M&A of walt disney :
➔ Acquisition of the fox Searchlight: This has been one the biggest acquisition by the walt disney. The deal took place on 14 december, 2017 for a whopping amount of $ 52.4 billion. Walt disney acquired all the assets of the fox, except of their core business assets, Fox news and sports media network . Fox group was clever in undergoing this deal as they knew that their core business group( sports and news media group) was safe from any external competition while they were receiving stiff competition in their movie business. The walt disney knows this pretty well that the way …show more content…
You have to look at all three of these together, and how this solidifies Disney as the absolute brand in entertainment.”
Strategically, financially or by any other standard, Marvel acquisition is probably one of the best decision CEO Bob Iger has ever taken. Only the acquisition of Pixar in 2006 comes close and that’s mostly because of home video sales. One analyst pointed out that by the time it completed with The Avengers, Iron Man 3 and the Captain America and Thor sequels, Disney almost paid for it’s acquisition.
“I think Marvel is worth the [2006] Pixar price of $9 billion,” He says. “I think if Marvel had stayed its own company and went to Wall Street and got the money, yeah, they could do their own theme parks now. They could be a competitor to Disney. But Disney was masterful. They not only took a competitor off the playing field, but added that competitor to their own deck. And they’ve done it again with Star Wars. This shows me that Disney just ‘gets it’ much more than the other studios get …show more content…
"We definitely plan to expand the presence of Star Wars in our parks which could include new parks." Disney quickly recovered its investment by exploring the potential for movies, theme park and merchandise. "If you look at how acquisitive Disney has been, it's all about content," one analyst said. "Lucasfilm is one of the great entertainment franchises of all time."
After three blockbuster hits, Disney’s Star Wars franchise have earned more than what the company paid for acquisition. The three Star Wars films under Disney ; The Force Awakens, Rogue One, and The Last Jedi were a huge success with a grossing of $4.2 billion worldwide. Disney and Lucasfilm expanded its original film franchise to include standalone films like Rogue One and the upcoming film Solo. And the current saga story will continue alongside the standalone ones.
All these success has led Disney’s studio to new heights. Disney is the highest grossing studio, with more than $6 billion in revenues in consecutive years 2016 and 2017, because of Star Wars, as well as the Marvel movies, reboots of classic like Beauty and the Beast, and other animated movies like Zootopia and Coco. It’s the only studio to cross the mark two years in a
Some of the notable M&A of walt disney :
➔ Acquisition of the fox Searchlight: This has been one the biggest acquisition by the walt disney. The deal took place on 14 december, 2017 for a whopping amount of $ 52.4 billion. Walt disney acquired all the assets of the fox, except of their core business assets, Fox news and sports media network . Fox group was clever in undergoing this deal as they knew that their core business group( sports and news media group) was safe from any external competition while they were receiving stiff competition in their movie business. The walt disney knows this pretty well that the way …show more content…
You have to look at all three of these together, and how this solidifies Disney as the absolute brand in entertainment.”
Strategically, financially or by any other standard, Marvel acquisition is probably one of the best decision CEO Bob Iger has ever taken. Only the acquisition of Pixar in 2006 comes close and that’s mostly because of home video sales. One analyst pointed out that by the time it completed with The Avengers, Iron Man 3 and the Captain America and Thor sequels, Disney almost paid for it’s acquisition.
“I think Marvel is worth the [2006] Pixar price of $9 billion,” He says. “I think if Marvel had stayed its own company and went to Wall Street and got the money, yeah, they could do their own theme parks now. They could be a competitor to Disney. But Disney was masterful. They not only took a competitor off the playing field, but added that competitor to their own deck. And they’ve done it again with Star Wars. This shows me that Disney just ‘gets it’ much more than the other studios get …show more content…
"We definitely plan to expand the presence of Star Wars in our parks which could include new parks." Disney quickly recovered its investment by exploring the potential for movies, theme park and merchandise. "If you look at how acquisitive Disney has been, it's all about content," one analyst said. "Lucasfilm is one of the great entertainment franchises of all time."
After three blockbuster hits, Disney’s Star Wars franchise have earned more than what the company paid for acquisition. The three Star Wars films under Disney ; The Force Awakens, Rogue One, and The Last Jedi were a huge success with a grossing of $4.2 billion worldwide. Disney and Lucasfilm expanded its original film franchise to include standalone films like Rogue One and the upcoming film Solo. And the current saga story will continue alongside the standalone ones.
All these success has led Disney’s studio to new heights. Disney is the highest grossing studio, with more than $6 billion in revenues in consecutive years 2016 and 2017, because of Star Wars, as well as the Marvel movies, reboots of classic like Beauty and the Beast, and other animated movies like Zootopia and Coco. It’s the only studio to cross the mark two years in a