Posted Wednesday, May 4, 2011 12:14 PM | Contributed by Jeff
Comcast Corp said on Wednesday it will make a decision on whether to buy out Blackstone Group LP's 50 percent stake in their Universal Orlando theme park joint venture in the next month. The No.1 U.S. cable company became an owner of its stake after it closed the deal to take control of NBC Universal in January. Blackstone, which bought into the theme park in 2000, has set in motion a right of first refusal clause that gives NBC Universal until June 12 to make a decision.
Read more from Reuters.
Do they have a choice? Very curious...
What do you mean, of course they have a choice. If they didn't, this wouldn't be a story.
I think the real story is... do they have a choice. When you have so much invested in a business, can you afford to have someone put half of up for sale and potentially into unknown hands? (Recognizing that I could say ice cream is delicious and you would counter it) and again... curious to see what they do.
Their decision will be made next month between 1pm and 6pm, but in reality the decision will be made at 7:14pm
CPJ: I think you need to read up on the story. If NBC-U doesn't exercise their "first dibs," Blackstone can shop around the entire resort for fair market value. If they don't want to be in the theme park business, they don't have to be. They'll get paid for their stake.
Jeff: Pretty sure they will still own theme park businesses in California and in Asia. But you would know best. I guess you're suggesting if they opt out of the Florida business they will be completely out of the theme park business. WINNING!
I'm not suggesting anything. If they don't want to be in the business, this would be the first step toward getting out of it. Since Comcast bought NBC-U, analysts have been split on whether or not they'll continue to do it.
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