After days of rumors that Comcast was looking to buyout DreamWorks Animation, we finally have an answer – yes, it’s happening.
NBCUniversal will be acquiring DreamWorks Animation, which currently has an equity value of $3.8 billion dollars. DreamWorks Animation Stockholders are set to receive $41 dollars in cash for each of their shares when the deal is expected to close by the end of 2016.
DreamWorks Animation will be joining Universal Filmed Entertainment Group, which is already home to Universal Pictures, Fandango, and NBCUniversal Brand Development. This deal helps bolster Universal’s animated lineup by bringing hit franchises such as Shrek, Madagascar, and How to Train Your Dragon into the family alongside the animated films like Despicable Me and The Secret Life of Pets it currently distributes. Also under the DreamWorks Animation umbrella is DreamWorks Classics, which includes Where’s Waldo, Frosty the Snowman, and Rudolph the Red-Nosed Reindeer.
DreamWorks Animation CEO and co-founder Jeffrey Katzenberg will become Chairman of DreamWorks New Media and will serve as a consultant to NBCUniversal.
So what does this all mean?
- Shrek 4-D will most likely be safe for the next couple of years, if not longer.
- Universal will have the ability to make their parks even more kid-friendly with the new franchises.
- We can expect even more sequels based on how sequel-happy DreamWorks was before and Universal is now.
At the end of the day, this could be a great decision for Universal. Buying out major properties like Star Wars and Marvel has paid off for Disney, so it makes sense for Universal to jump on the bandwagon. Plus, Universal has the ability to expand its reach to younger audiences with DreamWorks Animation, Nintendo, and Illumination Entertainment like never before.
Only time will tell if this decision was wise or not, but color us excited for the potential to have Rudolph vs. Grinchmas this coming holiday season at Universal!