The Walt Disney Company Finally Takes Full Ownership of Disneyland Paris
In a rather exciting piece of new, the Walt Disney Company has successfully taken full ownership of Disneyland Paris.
Disney required more than 95% of the stock via buyout to complete the transaction by ;last week, and they reached 97.08% which will eventually grant them full ownership of the entire resort for the first time in its 25 year history. The remaining shareholders will see their shares automatically redeemed at the price of €2 each.
Before the buyout, Disney stated that this deal “affords maximum flexibility to shareholders, addresses the group’s financial needs and reflects its ongoing support for the long-term success of Disneyland Paris”. To this end, Disney said it will support Euro Disney’s recapitalization to the tune of 1.5 billion euros. This follows a 2014 rescue plan in which Disney committed to at least 1 billion euros over 10 years.
Disneyland Paris racked up a net loss of 858 million euros (over $900 million) in 2016 after the terrorist attacks in Paris in late 2015 led to a downturn in the tourism industry across France. Additionally, the European economy hasn’t been been kind to businesses across the continent. In 2015, the company recorded a net loss of 102 million euros. The financial saga of Euro Disney is frequently discussed in most writings about the resort, including the recently released "Building Magic – Disney’s Overseas Theme Parks" and the earlier "Once Upon an American Dream: The Story of Euro Disneyland".
Source: WDW News Today
Banner Photo Credit: Disney