Stock closed at $49.69
Twenty-First Century Fox (FOXA) stock rose 28.6% in June to close at $49.69. The stock is currently trading at $49.20, which is 98% above its 52-week low of $24.81 and 2% below its 52-week high of $50.15. FOXA has generated returns of 43% so far in 2018 after rising 25% in 2017. In the trailing 12 months, FOXA stock has risen 75%.
Stock rose 12% in week ended June 15
In the week ended June 15, FOXA shares rose 12% after Comcast (CMCSA) offered $65 billion to acquire it. That was 24% higher than $52.4 billion offered by Disney (DIS), which then raised its acquisition offer to $71.3 billion. In June, AT&T (T) acquired Time Warner (TWX) for $85.4 billion.
Comcast had offered to pay $35 per share compared to Disney’s old offer of an all-stock deal of $29.18 per share. According to the latest offer, Disney will pay $38 per share, and FOXA will have a share of 19% in the combined company. The two companies are looking to acquire FOXA’s film and television units, which include National Geographic and FX, as well as Sky’s international pay-TV services.
The traditional players are facing competition from streaming giants Netflix (NFLX) and Amazon Prime (AMZN). In the first quarter, Comcast lost 93,000 video subscribers. The FOXA acquisition could help Comcast expand globally and gain international subscribers to drive revenue.
FOXA shareholders will vote on the Disney acquisition deal on July 27.