Disney Advises Shareholders to Reject ‘Mini-Tender’ Offer


Toronto-based TRC Capital seeks to buy 2 mil shares at below-market price

Disney is urging shareholders to reject an effort by Toronto-based TRC Capital to mount a “mini-tender offer” to buy up to 2 million shares at the below-market price of $61 a share.

Disney issued a pro-forma release Tuesday morning urging shareholders to eschew the offer, noting that the price is $3 below the closing price of Mouse House shares on Oct. 7, the day before TRC made its offer. Other media congloms including 21st Century Fox have issued similar warnings at TRC-initiated mini-tender offers.

The Securities and Exchange Commission has also urged investors to be wary of mini-tender offers at below-market prices. The mini-tender offers are so named because they are for less than 5% of a company’s stock and not subject to the same SEC oversight and protections as larger tenders.

Disney shares closed Monday at $66.83.

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  1. occultology says:

    “The Battle For The Control Of The ‘Star Wars” Franchise Has Begun!” Studios may collide, merge, and/or devour one another over this before all is said and done. It will be fun to watch.

  2. Jim says:

    Screw this. Sell Selena Gomez’s contract for lip syncing at a paid LIVE show!

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