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Comcast is acquiring DreamWorks Animation in $3.8 billion deal

Apr 28, 2016, 18:42 IST

DreamWorks

Comcast is acquiring DreamWorks Animation for $41 per share, in a deal totalling $3.8 billion, the company announced Thursday.

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DreamWorks Animation, the studio behind beloved family movies like "Shrek" and "Kung-Fu Panda," and headed by CEO Jeffrey Katzenberg, will become part of NBCUniversal, a division of Comcast, specifically the Universal Filmed Entertainment Group, which includes Universal Pictures, Fandango, and NBCUniversal Brand Development.

"DreamWorks Animation is a great addition to NBCUniversal," Steve Burke, CEO of NBCUniversal, said. "Jeffrey Katzenberg and the DreamWorks organization have created a dynamic film brand and a deep library of intellectual property. DreamWorks will help us grow our film, television, theme parks, and consumer products businesses for years to come."

The deal is expected to close by the end of 2016, at which point Jeffrey Katzenberg will become Chairman of DreamWorks New Media, comprised of the company's ownership interests in Awesomeness TV and NOVA. He'll also consult for NBCUniversal.

"Having spent the past two decades working together with our team to build DreamWorks Animation into one of the world's most beloved brands, I am proud to say that NBCUniversal is the perfect home for our company; a home that will embrace the legacy of our storytelling and grow our businesses to their fullest potential," Katzenberg said.

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The acquisition will give NBCUniversal access to highly valuable entertainment properties, which also include "Madagascar" and "How to Train Your Dragon," as well as DreamWorks Animation's supply of TV programming.

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