Walt Disney Co. Chief Executive Bob Iger has scaled the mountain.
Through a series of sure-footed moves, Iger has worked tirelessly to position Disney as the world’s preeminent entertainment company. Now he is closer to realizing his vision as the Burbank giant late Tuesday finalized its $71.3-billion purchase of much of Rupert Murdoch’s 21st Century Fox.
The acquisition is the boldest — and riskiest — of Iger’s 14-year stewardship of Disney
With the landmark purchase of Fox assets, Disney, already valued at $168 billion, is poised to be an even bigger force in Hollywood. Disney is taking over Fox’s movie and TV production studios and the rights to such valuable properties as “Avatar,” “Ice Age,
This is an extraordinary and historic moment for us — one that will create significant long-term value for our company and our shareholders,” Iger said in a statement Tuesday.
Analysts say the consolidation highlights massive shifts that are underway in media.
“This is a game changer for the industry,” Jessica Reif Ehrlich, a media analyst at Bank of America’s Merrill Lynch, said in an interview. “When the Murdochs decided to sell Fox, the entire industry was turned upside down. The message was: ‘You either need to get bigger — or get out.’ ”
Iger sought the Fox assets to fortify Disney against the onslaught from the north. Technology giants with mounds of cash — Netflix Inc., Google Inc., Apple Inc., and Amazon.com Inc. — have attracted millions of customers to their streaming services.