FILE PHOTO: The entrance gate to The Walt Disney Co is pictured in Burbank, California February 5, 2014. REUTERS/Mario Anzuoni
(Reuters) – Walt Disney Co said it will take full control of the Hulu service in a deal with Comcast Corp that removes an obstacle in the Mouse House’s quest to take on rivals including Netflix Inc in the global streaming video war.
The agreement, which ascribes a minimum equity value of Hulu at $27.5 billion, allows either company to trigger a sale or purchase of Comcast’s 33% stake to Disney as early as January 2024. Comcast has also agreed to fund Hulu’s recent buyout of AT&T’s 9.5% interest in the company.
By establishing an expiration date of five years from now, Comcast is betting