I posted last week about the rumored Disney - Pixar deal, and now it's official.
The more I think about this deal, the more sense it makes to me. No, Pixar isn't getting a big premium over where they were trading before the deal rumors started to fly. But Pixar has been hitting on all cylinders, and in the film business they are one flop away from losing 20% of their market cap. With this deal, Pixar shareholders get to lock their value in with very little risk of Disney (a moribund stock for years) taking a similar dive. Better yet, if the mouse follows through on preserving Pixar's independence and gives Ed Catmull real authority over the animation business, Disney could put on the kind of growth over the next few years that would only come at great risk for a standalone Pixar.