DoJ approves Disney/Fox deal

The Simpsons could come under the Disney umbrella

The Walt Disney Company has moved a step closer to securing major 21st Century Fox assets after receiving the go-ahead from the US Department of Justice (DoJ).

The DoJ has entered into a consent decree with Disney and Fox allowing the deal to proceed, under the stipulation that Disney-owned ESPN sells off 22 regional sports networks to avoid having an unfair dominance in sports broadcasting.

“We are pleased that the DoJ concluded that, with the exception of the proposed acquisition of the Fox Sports regional networks, the transaction will not harm competition, and that we were able to resolve the limited potential concerns to position us to move forward with this exciting opportunity that will enable us to create even more compelling consumer experiences,” Disney said in a statement.

Should the deal get past other regulatory hurdles, Disney could take over a cable operation that includes National Geographic, FX and FXX, as well as a 30% interest in Hulu, giving it a controlling stake in the US streamer.

Entertainment properties including X-Men, Avatar and The Simpsons would also join Disney’s portfolio, in addition to Fox’s 50% stake in Endemol Shine, which is behind formats such as MasterChef and Big Brother and UK dramas Broadchurch and Peaky Blinders.

Earlier this month Disney increased its bid to over US$71bn in order to ward off rival bidder Comcast, with US analysts predicting the latter could still table another bid.

A special meeting of Fox stakeholders to consider the original bid had been scheduled for July 10, but this has now been put back to allow more time to consider the revised proposal and potentially a counter-bid from Comcast.