Home / Arts and Entertainment / Disney CEO Defends Fox Deal Amidst WBD Turmoil
Disney CEO Defends Fox Deal Amidst WBD Turmoil
2 Feb
Summary
- Disney CEO Bob Iger defended the Fox acquisition as timely.
- He cited Warner Bros. Discovery's (WBD) market valuation as proof.
- The $70 billion Fox deal closed in 2019, adding significant debt.
Disney CEO Bob Iger has asserted that the company's acquisition of 21st Century Fox, finalized in 2019 for over $70 billion, was "ahead of its time."
Speaking after quarterly earnings, Iger pointed to the current financial landscape of Warner Bros. Discovery (WBD) as evidence of Disney's shrewd deal-making. He suggested that the significant multiples rivals have paid for assets like WBD underscore the inherent value of Disney's own intellectual property, brands, and franchises.
The substantial debt incurred from the Fox deal has been a point of contention on Wall Street since its completion. However, Iger indicated that the ongoing battles for control of Warner Bros. Discovery should serve as a reassurance to investors regarding the worth of Disney's extensive content library.
