Tonight media reports are indicating that Comcast is preparing an all cash bid for 21st Century Fox’s entertainment assets and is in the process of trying to line up bridge financing for a competitive bid vs. Disney’s existing flagship $52 billion offer. This would be a “game changing” development as Disney and Iger were thought to be the sole bidders for these assets after many months of speculation and worries around anti-trust issues could have initially deterred Comcast (e.g. AT&T/Time Warner case). We note Disney’s $52 billion bid is an all stock deal that is a transformational event for the future of the content and streaming landscape in our opinion and is integral to the streaming ambitions of Iger and Disney. This deal would put Disney in the catbirds seat in terms of content king and with its streaming service set to launch in 2019 Iger has a clear runway to gain market and mind share from the likes of Netflix. With Comcast already going after Sky assets in Europe, this would be a logical and “aggressive move” for Comcast to go after these golden entertainment assets of Fox and would move Comcast to the forefront of the streaming game potentially over the coming years in our opinion. There are clearly vast synergies around the box office/advertising by combining Fox’s movie and television studio businesses (Pixar, Marvel, 20th Century Fox, etc.) with Disney’s vast entertainment assets that would give the combined media behemoth 35%-40% of domestic box office market share, while we also estimate there are roughly $2 billion of cost synergies that could be realized in the first 12 to 18 months of the deal as Disney finds overlap on the studio front. Comcast’s bid would not have as much pure synergy in our opinion, however this would be a major and defining strategic win for the company if they head in this direction barring anti-trust worries and financing issues. We will be watching this news closely as Disney’s acquisition of Fox represents the epicenter of Disney’s streaming endeavors and Comcast entering the Fox sweepstakes would be a game of high stakes poker that could change the course of the media and streaming landscape for decades to come depending on which direction this deal heads.