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Disney to pay almost $439 million to take
full control of streaming service Hulu
[June 11, 2025]
By MICHELLE CHAPMAN
Disney will
pay Comcast's NBCUniversal nearly $439 million for its stake in Hulu,
taking full control of the streaming service.
The move closes out an appraisal process that's dragged on for a few
years. Disney said in November 2023 that it was acquiring a 33% stake in
Hulu from Comcast for at least $8.6 billion. That amount reflected
Hulu's guaranteed floor value of $27.5 billion, according to a
regulatory filing.
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The logos for streaming services Netflix, Hulu, Disney Plus and Sling TV
are pictured on a remote control on Aug. 13, 2020, in Portland, Ore. (AP
Photo/Jenny Kane, File) |
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Disney has run Hulu since 2019, when Comcast ceded its authority
to Disney and effectively became a silent partner.
Hulu began in 2007 and quickly evolved into as a service backed
by entertainment conglomerates who hoped to stave off the
internet with an online platform for their own TV shows. Disney
joined in 2009, planning to offer shows from ABC, ESPN and the
Disney Channel. A decade later, Disney gained majority control
of the business when it acquired 21st Century Fox.
Disney said in a regulatory filing on Monday that its appraiser
arrived at a valuation below the guaranteed floor value during
the initial phase of the appraisal process, while NBCUniversal’s
appraiser arrived at a valuation substantially in excess of the
guaranteed floor value.
A third appraiser was brought in and concluded that The Walt
Disney Co. will pay $438.7 million for the Hulu stake.
“We are pleased this is finally resolved. We have had a
productive partnership with NBCUniversal, and we wish them the
best of luck," Disney CEO Bob Iger said in a statement.
"Completing the Hulu acquisition paves the way for a deeper and
more seamless integration of Hulu’s general entertainment
content with Disney+ and, soon, with ESPN’s direct-to-consumer
product, providing an unrivaled value proposition for
consumers.”
The transaction is anticipated to close by July 24. It's not
expected to impact Disney's fiscal 2025 adjusted earnings
forecast.
Shares of Disney rose slightly in morning trading on Tuesday.
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