Could two major corporate powers be coming together? It’s no secret that Disney has been struggling financially these last few years, so a potential merger between Apple and the “happiest place on earth” could only help the company.
According to Needham analyst Laura Martin, she believes that Apple would be worth 15% to 25% more combined with Disney.
“We believe that great content and a strong distribution footprint are complementary networks,” Martin wrote Thursday. “That is, both are worth more if they have the other.”
In a letter to investors, Martin mentions that Apple is the best content distributer globally, with an existing user back of 2 billion high-end mobile devices owned by 1.25 billion unique, wealthy users.
She added that Disney excels at creating 5-star content franchises, which distribute globally across all screens, as well as theaters, parks, hotels and cruises.
Rumors have been circulating around the notion of the two companies merging since the late Steve Jobs was still around – he and Disney CEO Bob Iger were considered very good friends.
According to Market Watch, “before dismissing the notion of two media behemoths melding, consider this: Under Iger, Disney has spent nearly $100 billion snapping up companies such as Pixar (which Jobs ran as CEO), Marvel, Lucasfilm and 21st Century Fox.”
If this were to happen, the real question lies in who would be succeeding Iger when he retires?
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