Today Disney announced a rather unusual (and expensive) takeover of the world’s second-largest TV and Movie streaming service, Hulu.
Hulu is again the centerpiece of attention in the realm of streaming services as today Disney (NYSE:DIS) announced a rather unusual takeover of the world’s second-largest TV and Movie streaming service.
Effective immediately, Disney will assume “full operational control” over Hulu, which means Comcast (NASDAQ:CMCSA)will be handing over its share of authority.
Related Hulu Adds Twice As Many Subscribers As Netflix In First Quarter
As part of the deal that will see Disney wrestle full operational control from Comcast, the later was granted an optional buy-out contract that will come due in 2024.
Comcast will have the option to sell-off its 33 percent stake in Hulu to Disney at a valuation of at least $27.5 billion dollars. The sum would be guaranteed for at least $5.8 billion no matter the valuation of Hulu at the time of sale.
Comcast acquired NBC Universal in 2011, who in turn co-founded Hulu in 2007 with the help of ABC (Disney) and Fox (NASDAQ:FOX), with all three taking an even third split.
