Walt Disney has said it will take full control of the Hulu service in a deal with Comcast that removes an obstacle in the “Mouse House’s” quest to take on rivals including Netflix in the global streaming content war. The agreement, which ascribes a minimum equity value of Hulu at $27.5bn, allows either company to trigger a sale or purchase of Comcast’s 33% stake to Disney as early as January 2024. Comcast has also agreed to fund Hulu’s recent buyout of AT&T’s 9.5% interest in the company. By establishing an expiration date of five years from now, Comcast is betting the value of its stake will appreciate significantly as Disney prepares unencumbered to expand the scope and reach of Hulu in the domestic and international markets to battle the likes of Netflix, Amazon and Apple. “It is important for Disney to have full control of the direction and content on Hulu,” said Trip Miller, managing partner of Memphis-based hedge fund Gullane Capital Partners, whose funds include Disney shares...
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