Fox investors 'would be open to terminating Disney agreement'

Investors say Comcast's planned all-cash deal would be more attractive
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In the latest twist in the on-going 21st Century Fox, Disney and Comcast drama, several of Fox's investors have said they would be "open" to terminating the company's agreement with Disney.

Reuters reports the investors are waiting to see if Comcast follows through with its planned all-cash offer. That in turn is dependent on whether a federal judge allows AT&T Inc’s planned $85 billion acquisition of Time Warner Inc to proceed.

“I always prefer cash deals,” said Salvatore Muoio, whose New York-based investment firm S Muoio & Co owns 26,000 shares of Fox, according to Thomson Reuters data. “The value of a cash deal is certain.”

Other Fox investors told Reuters their decision would be based on the price that Comcast offers. “I would have to look at the tax dynamic and what it would mean for my taxable clients,” said Mario Gabelli, chairman and CEO of Gamco Investors, which owns 9.6 million shares of Fox.

Reuters suggests that Fox's largest shareholder Rupert Murdoch would face a multi-billion dollar capital gains tax bill if Fox accept an all-cash offer from Comcast.

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