Disney Stockholders Receive 21st Century Fox Merger Proposal Letter

Disney has issued merger proposal letters to stockholders, urging their vote on the looming merger between The Walt Disney Compay and Twenty-First Century Fox, Inc.

One voter shared an image of the letter to Reddit, laying out the terms of the merger that was announced in mid-December.

"Prior to the completion of the initial merger, [Twenty-First Century Fox] and a newly-formed subsidiary of 21CF, which we refer to as New Fox, will enter into a separation agreement... will transfer to New Fox a portfolio of 21CF's news, sports and broadcast businesses, including the Fox News Channel, Fox Business Network, Fox Broadcasting Company, Fox Sports, Fox Television Stations Group, and sports cable networks FS1, FS2, Fox Deportes and Big Ten Network, and certain other assets," the letter reads.

Under the new deal, "21CF will retain all assets and liabilities not transferred to New Fox, including the Twentieth Century Fox film and television studios and certain cable and international television businesses."

When or if Disney takes control of Fox's film and television assets, it would see Fox-controlled properties like the Fantastic Four and the X-Men return to Disney, who would then possess their live-action screen rights.

The famed Marvel Comics characters would then be integrated into the shared Marvel Cinematic Universe operated by Disney-owned Marvel Studios, whose president, Kevin Feige, hopes to win the right to use the characters.

Disney CEO Bob Iger confirmed in December the studio is "looking forward to expanding the Marvel Cinematic Universe to include X-Men, Fantastic Four and Deadpool," and the door is open for future R-rated Marvel productions in the vein of Deadpool or Logan.

In May, it was learned NBCUniversal parent company Comcast — who has pursued Fox since December — were preparing a "superior" and all-cash bid for the Fox purchase.

Days ago, it was learned Rupert Murdoch wants to do business with the highest bidder, putting the potential Disney-Fox deal in serious jeopardy after Comcast prepared a bid of roughly $60 billion — topping Disney's $52.4 billion offer.

Should Disney win the deal, the company would acquire 21st Century Fox's film and television studios and assets as well as multiple regional sports networks, a share of Europe's Sky family of networks, and Fox's 30% stake in Hulu — giving Disney a controlling interest in the streaming service.

Disney and Fox shareholders will vote on the merger July 10.