China has given unconditional approval to Walt Disney’s US$71.3 billion planned takeover of large parts of 21st Century Fox, Disney announced on Monday, November 19.
The news drove the stocks of both companies higher as some on Wall Street had feared of complications in the approvals process.
The deal still requires regulatory approval from a number of nations around the world, but the unconditional green light from China represents a huge win for Disney.
Disney initially agreed in December to buy the majority of Fox for US$52.4 billion in stock. The deal at the time included Fox’s movie studios, networks National Geographic and FX, Star TV, and stakes in Sky, Endemol Shine Group and Hulu, as well as regional sports networks.
Disney secured conditional approval from the US Justice Department for the deal in June after agreeing to sell Fox’s 22 regional sports networks.
