Disney’s Bid For Fox Clears Department of Justice Approval

Disney is one step closer to their $71.3 billion bid for 21st Century Fox assets, with the Department of Justice stamping their approval on it. Deadline reports that the DoJ approved the bid, provided that Fox’s regional sports networks are not part of the deal. The sports networks must be carved out due to concerns over Disney’s ownership of ESPN and a posssible monopoly.

This is not Disney’s last required approval, with several other regulatory bodies needing to sign off on the deal before it can go through. It does however, as the site notes, put pressure on Comcast to offer up a response to Disney’s offer sooner rather than later. Comcast entered a competing bid on June 13th of $65 billion, which prompted Disney to respond with its increased bid. The bidding could take the ultimate price as high as $90 billion if Comcast decides to stay in the game. The company is reportedly trying to secure outside sources for a new bid.

Disney has agreed to the DoJ’s condition, which is enabled by a suit which allows the parties to agree to a 90-day window after the close of the transaction during which which the divestiture of the regional sports networks can occur.