As a part of an approval for Disney’s purchase of Twenty-First Century Fox, the Department of Justice asked Disney to dissociate from the 22 regional sports networks (RSNs) Fox had run. Disney was hoping to get a purchaser for the networks before it blocked the acquisition. However, it witnessed much less interest than projected. In 2018, analysts proposed the value of the sports networks at approximately $22 Billion.
Disney won’t achieve that much in its sale. Reportedly, Sinclair Broadcast Group presented the proposal of about $9.6 Billion for the range of networks exclusive of the YES Network (New York Yankees). According to the sources, Disney has settled to sell the YES Network to a group of purchasers that includes Sinclair, Amazon, and the Yankees themselves. Reports highlight that the latest deal is finalized for about $3.5 Billion.
On a similar note, Disney came into the news as its shares were seen rising. Reportedly, this lift in the shares is observed after the media giant posted 2nd quarter 2019 earnings and profits that beat all expectations. In the post-market trading this week, the stock was increasing 0.97% to reach about $136.30 per share, after having climbed about 1.28% in regular hours.
Earnings a share came in at an attuned $1.61. Reportedly, this value is slightly ahead of Wall Street’s anticipations of about $1.59. The firm was successful to collect the revenue of about $14.92 Billion, which was seen beating analyst’s estimations of approximately $14.54 Billion. Direct-to-Consumer and International (DCTI) revenue was improved 15% to reach about $955 Million. At the same time, the segment operating loss enlarged from about $188 Million to almost $393 Million. Bob Iger, Chairman and CEO, Disney, proclaimed that the firm is very pleased with its Q2 results and thrilled with the record-shattering success of Avengers: Endgame.