The Walt Disney Co. will acquire Pixar Animation Studio for $7.4 billion to combine the two animation studios, which gives Disney greater access to Pixar characters for marketing deals.
Under the agreement, Disney will relinquish control of its animation studio to Pixar President Ed Catmull, who will serve as president of the combined Pixar and Disney animation studios.
In return, Disney gets increased access to Pixar characters and franchises on popular platforms, including video games, broadband and wireless applications and media outlets, including theme parks, consumer products and live stage plays.
Catmull will report to Walt Disney Co. President-CEO Robert Iger and Dick Cook, chairman of The Walt Disney Studios.
“The addition of Pixar significantly enhances Disney animation, which is a critical creative engine for driving growth across our businesses,” Iger said in a statement. “This investment significantly advances our strategic priorities, which include— and foremost— high-quality, compelling creative content to consumers, the application of new technology and global expansion to drive long-term shareholder value.”
John Lasseter, Pixar’s executive VP, will serve as chief creative officer of the combined animation studios, and principal creative advisor at Walt Disney Imagineering, where he will help design new attractions for Disney theme parks.
Disney entered its relationship with Pixar in 1991, producing all six of Pixar’s films: Toy Story, Toy Story 2, A Bug’s Life, Monsters, Inc., Finding Nemo and The Incredibles. Pixar is in production on Cars, the final film under the original Disney agreement; Cars is slated to open June 9.
The purchase, which is expected to close this summer, will make Pixar CEO Steve Jobs Disney’s largest single shareholder. Jobs, who also heads Apple Computer, Inc., will also earn a seat on the board of directors.
Network
