Verizon Going After Disney? Maybe.

It’s certainly not impossible that Verizon Communications Inc. VZ is considering acquiring Walt Disney Co DIS. But if this New York Post rumor plays out at all like the others, the deal is not likely.

Since Verizon’s purchase of Yahoo, which now trades under Altaba Inc AABA, the Post has reported bids on Twitter Inc TWTR, Time Inc TIME, Charter Communications, Inc. CHTR and Pandora Media Inc P.

None have thus far transpired as suggested.

Still, Disney shares rocketed 2 percent on the latest Post report, possibly because the speculation is not entirely unjustified. Verizon has proven thirsty for content with its recent absorption of Yahoo News, AOL News, Huffington Post and TechCrunch. The firm consolidated its latest media assets under its new digital unit, Oath.

Meanwhile, it maintains a positive relationship with Disney’s ESPN, for which it reorganized subscription packages last February.

Disney has also been the subject of numerous takeover rumors — both as the buyer and seller. Some anticipate its targeting of Twitter or Netflix, Inc. NFLX, while others foresee a buyout by Apple Inc. AAPL.

One Credit Suisse analyst recently identified great opportunity in Disney’s direct-to-consumer strategy, which may be of interest to Verizon.

“We believe the company has substantial opportunities to build a business of scale over the next two to three years, leveraging its wholly-owned and licensed IP in movies, entertainment and sports, which could both exploit demand for under-monetized content and open up new opportunities for targeted advertising,” Omar Sheikh wrote in a May note.

Related Links:

Massive Media Layoffs Begin As Verizon Juggles HuffPost, AOL, Yahoo

Verizon Deal Delay: What Does It Mean For Yahoo, Alibaba Investors? What Do Tesla, Netflix And Disney Have In Common? There’s Talk Apple Could Buy Any One Of Them

Market News and Data brought to you by Benzinga APIs
Posted In: NewsRumorsM&AMediaAOL NewsCredit SuisseESPNNew York PostOmar Sheikhtechcrunchthe Huffington PostYahoo! News
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...