We’re another step closer to this merger being complete, as it has just gained approval from the European Union on the condition that Disney sells off some of the television channels it controls in the European Economic Area, like History and Lifetime, to avoid stiffing competition. The next big hurdle Disney has to jump after this is China, which could be more difficult. The political climate has shifted and investors are on edge about whether or not China will try and sink it as retaliation against the recent tariffs imposed by President Trump.
However, if you’re worried that because of them this merger won’t happen at all, I wouldn’t be since Bob Iger has a pretty good relationship with China and their President. Since having launched the Shanghai Disney Resort in 2016 and meet personally with President Xi Jinping, which is a rare honor even among politicians, they’ve maintained a pretty consistent relationship.
If there are complications, I’m sure that Disney will simply have to make compromises, but I doubt there will be any serious delays to the initially proposed completion of the merger in Summer 2019.
Source: CNBC
