Comcast has closed its $3.8 billion acquisition of DreamWorks Animation, ending the studio’s 12 years as a publicly traded company. DWA now is part of NBCUniversal’s Universal Filmed Entertainment Group, where it will function alongside Universal Pictures, Fandango, and NBCUniversal Brand Development.
Per the deal the companies announced in April, Comcast will pay DWA stockholders $41 for each share. DWA also redeemed the outstanding $300 million principal from its 6.875% Senior Notes due August 15, 2020. Owners will receive 105.156% of the principal amount, plus accrued and unpaid interest to the redemption date.
DWA chief Jeffrey Katzenberg will remain as chairman of DreamWorks New Media, to include interests in AwesomenessTV and Nova. He’ll also consult with NBCUniversal.
Early this month, the studio reported that in Q2 it generated net income of $9.4 million, up from a $21.8 million loss in the period last year, with revenues up 50.1% to $220.9 million.
The company’s SEC filing showed that DWA spent $1.2 million in the quarter out of a $17.3 million bonus plan to keep employees while waiting for the deal with Comcast to close, and stay for the following six months.
The studio added that it was “unable to estimate a range of possible loss” from two shareholder suits it’s challenging tied to the Comcast sale. Both charge that Katzenberg breached his fiduciary duty to shareholders by making the lucrative consulting arrangement a condition for his support.
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