On Monday, Walt Disney Co. (DIS) announced its plan to merge the Hulu + Live TV segment with FuboTV Inc. (FUBO), which will now offer a broad range of programming packages. According to the agreement, Disney will possess 70% of the merged virtual Multichannel Video Programming Distributor (MVPD) entity, while FuboTV will hold the remaining stake.
Following this announcement, FuboTV's stock rose dramatically by 118.9%, reaching $3.15. Meanwhile, Disney's stock is trading at a pre-market value of $111.72, reflecting a modest increase of 0.51% on the New York Stock Exchange.
Disney has stated that it will forge a new carriage agreement with Fubo, facilitating the establishment of a new Sports & Broadcast service that will feature Disney's top-tier sports and broadcast networks.
In addition, FuboTV has consented to withdraw its lawsuit against Disney, Fox Corp., and Warner Bros. Discovery (WBD), which alleged that Venu Sports violated U.S. antitrust laws.
Previously, the court had sided with FuboTV, granting an injunction to temporarily halt the Venu Sports launch, as reported by Reuters.
As part of this transaction, Fubo will receive a total payment of $220 million from Disney, Fox Corp., and Warner Bros. Discovery, along with a $145 million term loan from Disney. Additionally, the company will be awarded a termination fee of $130 million.
The material has been provided by InstaForex Company - www.instaforex.com
Following this announcement, FuboTV's stock rose dramatically by 118.9%, reaching $3.15. Meanwhile, Disney's stock is trading at a pre-market value of $111.72, reflecting a modest increase of 0.51% on the New York Stock Exchange.
Disney has stated that it will forge a new carriage agreement with Fubo, facilitating the establishment of a new Sports & Broadcast service that will feature Disney's top-tier sports and broadcast networks.
In addition, FuboTV has consented to withdraw its lawsuit against Disney, Fox Corp., and Warner Bros. Discovery (WBD), which alleged that Venu Sports violated U.S. antitrust laws.
Previously, the court had sided with FuboTV, granting an injunction to temporarily halt the Venu Sports launch, as reported by Reuters.
As part of this transaction, Fubo will receive a total payment of $220 million from Disney, Fox Corp., and Warner Bros. Discovery, along with a $145 million term loan from Disney. Additionally, the company will be awarded a termination fee of $130 million.
The material has been provided by InstaForex Company - www.instaforex.com