On Monday, Walt Disney Co. (NYSE: DIS) and Comcast Corporation (NASDAQ: CMCSA) finally resolved their years-long dispute over Hulu, with former agreeing to pay an additional sum to acquire Comcast's remaining stake in the streaming platform.
What Happened: Disney announced it would pay Comcast $439 million to complete the acquisition of the remaining 33% stake in Hulu, reported The Hollywood Reporter.
The companies had agreed in 2023 to a minimum price of $8.61 billion, but differing views on Hulu's total valuation led to a lengthy appraisal process.
Comcast had argued Hulu was worth significantly more and sought an additional $5 billion, while Disney maintained the floor price was fair.
The final deal amount indicates the valuation landed much closer to Disney's position.
The acquisition is expected to be finalized by July 24, 2025.
Why It's Important: The move strengthens Disney's competitive position in the crowded streaming landscape as it combines Hulu content with Disney+ and prepares to expand ESPN's digital offerings.
In a statement, Disney CEO Bob Iger said, "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."
Comcast also issued a statement, saying, "Hulu was a great start for us in streaming that generated nearly $10 billion in proceeds for Comcast and created an important audience for NBCUniversal's world-class content."
Price Action: Disney shares rose 1.55% on Monday, closing at $115.66, while Comcast slipped 0.29% to $34.60, according to Benzinga Pro data.
Benzinga's Edge Stock Rankings highlight a positive price trend for Disney across the short, medium, and long term.