Comcast is said to be negotiating to buy DreamWorks Animation SKG. DreamWorks is asking for something north of $3 billion, according to the Wall Street Journal. The company's market capitalization is about $2.3 billion.
Comcast Corp. (Nasdaq: CMCSA, CMCSK) already owns Universal Picture Studios, and operates Universal theme parks. Buying DreamWorks would boost Comcast as a rival of Walt Disney Co. (NYSE: DIS) which, perhaps not coincidentally, Comcast tried to buy 12 years ago.
DreamWorks has been looking for a partner. Two years ago, the company was talking with SoftBank Corp. and with Hasbro.
Comcast has been pleased with the success of its Universal unit with recent hits that include Despicable Me and Minions. DreamWorks has had success with several franchises, including the Kung Fu Panda, Madagascar and Shrek series.
— Brian Santo, Senior Editor, Components, T&M, Light Reading