Apple Could Buy Disney

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>Apple could potentially find the cash to pull off a $200 billion-plus takeover of Disney — creating a company worth $1 trillion with “almost limitless opportunities in content and technology.”

>“Recently, investors have increased their expectations that Apple could seriously consider acquiring Disney,” RBC analysts Steven Cahall and Leo Kulp wrote in the note.

>“Content is a major focus for Apple, target size is not an issue, and Disney offers an avenue to diversify away from hardware without diluting the strong Apple brand,” RBC’s Cahall and Kulp wrote.

>The M&A rumor mill got new grist last fall, when Apple chief Tim Cook told analysts that the tech giant was “open to acquisitions of any size.” In addition, Apple execs met with Time Warner honchos in late 2015 in a discussion that raised the possibility of a merger — before AT&T moved on its $85 billion bid for Time Warner.

>But would Apple shareholders support such a bet-the-company move? Assuming a 40% premium for Disney, the deal would carry a hefty $237 billion price tag. If Apple investors balk, Disney could consider spinning off assets like ESPN and theme parks to make the deal more palatable.

http://variety.com/2017/digital/news/apple-disney-acquisition-rumor-1202029827/

Looks like the tech companies are now eyeing all the media companies to produce content for them like the AT&T/Warners deal.