Byron Allen, the CEO of Allen Media Group, is reportedly considering making a substantial bid for ABC and other linear TV assets owned by Disney. During an appearance at the Code Conference, Allen revealed that he has substantial financial backing for his proposed $10 billion offer. He explained that there is currently a large volume of capital in the market seeking guaranteed returns. However, internal discussions within Disney seem to be hindering the initiation of a formal sale process.
According to Allen, potential sellers prioritize the “certainty of close” over financial aspects. He stated that Disney’s CEO, Bob Iger, is not yet ready to begin a formal sell-off process. Moreover, Allen mentioned that Kevin Mayer and Tom Staggs, both former Disney executives who now head Candle Media, are advising Iger on evaluating all alternatives. Allen speculated that Disney will face challenges when it comes to separating the linear networks from their established ecosystem.
In the event that a sales process does commence, Allen assured that his company, Allen Media Group, would pursue the opportunity with vigor. Notably, he emphasized that his company has an advantage over potential contenders like Nexstar and other station proprietors, as they exceed federal ownership limitations. Allen also mentioned that regulators are not keen on private equity firms or hedge funds operating national news services. Despite these potential hurdles, Allen expressed confidence in his proposal and stressed that Disney is aware of his sincerity and commitment.
This article is 100% likely factual news based on my current analysis. The information provided is accurate and objective, citing statements made by Byron Allen during a public appearance and providing insights into his plans and views on the potential challenges in acquiring ABC and other Disney-owned TV assets.