Disney to acquire Marvel in $4bn deal

Walt Disney said today it plans to buy Marvel Entertainment for $4 billion in a deal that would add characters like Iron Man, …

Walt Disney said today it plans to buy Marvel Entertainment for $4 billion in a deal that would add characters like Iron Man, Spider-Man, and the Fantastic Four to its entertainment empire.

The cash and stock deal values Marvel at $50 per share, or a premium of 29 per cent to Marvel's closing stock price of $38.65 today. The deal has been approved by the boards of both companies.

Marvel's shares shot up to $48.70 in premarket trade. Shares of Disney, which will acquire ownership more than 5,000 Marvel characters, dropped about 3 per cent in premarket trade.

Marvel shareholders would receive a total of $30 per share in cash plus approximately 0.745 Disney shares for each Marvel share they own.

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Reuters